Fraud prevention platform Darwinium raised $18 million in Series A funding this week.
The company positions its fraud detection processes on the network perimeter to provide better visibility, coverage, and agility.
Recently relocated to San Francisco, California, Darwinium made its Finovate debut at FinovateEurope earlier this year.
Digital security and fraud prevention platform Darwinium raised $18 million in Series A funding this week. The investment was led by U.S. Venture Partners, and featured participation from seed investors Blackbird, Airtree Ventures, and Accomplice. The Series A takes the San Francisco-based company’s total funding to $26 million. Darwinium will use the additional capital to scale its solution globally.
“AI capabilities have given fraudsters the upper hand of speed, scale, and greater efficiency,” Darwinium CEO and co-founder Alisdair Faulkner explained. “This is why we designed Darwinium to deliver the visibility and coverage of a security tool, the context and insight of fraud solutions, with the agility of AI. It’s the platform that will future-proof organizations against the most complex attacks.”
Darwinium offers two innovations to help companies fight fraud. First, Darwinium moves fraud detection processes to the network perimeter, to “the edge,” as the company refers to the strategy. This gives businesses a comprehensive view of the customer journey at every digital touchpoint, making it easier to distinguish trusted from risky behavior. This approach also gives the technology an advantage over API-based fraud protection solutions. These solutions, according to Darwinium, are not sufficiently agile and lack the context to adequately respond to evolving fraud threats.
Second, Darwinium leverages a SaaS approach to data protection, encrypting and anonymizing data on “the edge.” Any customer data that is subjected to analysis is stored within the business’ own infrastructure with their own digital keys. Darwinium’s technology then uses the anonymized version of this customer data. This enables the information to be processed without being exposed to fraudsters. Darwinium’s approach to securing customer data makes it easy for businesses to comply with consumer privacy regulations such as the California Consumer Privacy Act (CCPA) and the EU General Data Protection Regulation (GDPR).
Founded in 2021, Darwinium made its Finovate debut at FinovateEurope earlier this year. At the conference, the company previewed its fraud prevention platform that leverages individual digital signatures to make sure that website visitors and customers are who they say they are. The company introduced its Continuous Customer Protection platform this spring, simultaneously announcing the firm’s expansion to the U.S. and relocation of its corporate headquarters to San Francisco.
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