The Series C funding brings Alloy's total funding to $155.9M. Here are the top-line bullets you need to know.
Alloy, a provider of identity and risk solutions for banks and fintech companies, has raised $100M in a Series C. The round drew participation from Avid Ventures, Bessemer Venture Partners, Felicis Ventures, Lightspeed Venture Partners, and Canapi Ventures.
HOW’S THE COMPANY PERFORMING?
- New York-based Alloy provides digital identity and transaction monitoring solutions to fintech companies and financial institutions. The startup also automates part of the credit underwriting process.
- The company’s platform uses 120 data sources to provide its clients with a comprehensive view of their customers.
- Alloy counts Ramp, HMBradley, Gemini, Ally Bank, and Evolve Bank & Trust among its 200+ client base.
- The company’s revenue has increased more than 3x in less than a year.
- Alloy’s headcount has increased from 50 in January 2021 to over 140 at present.
WHY DOES THE MARKET MATTER?
- The global digital identity solutions market is expected to grow at a CAGR of 16.2% and reach a value of $49.5B by 2026, according to Markets and Markets.
- The growing prevalence of cyber fraud and data breaches alongside the need to comply with new regulations designed to safeguard companies and individuals is fueling market growth.
- As banking services increasingly shift online, digital identity services have become a major topic of discussion. In the UK, PSD2 spurred the creation of new legal requirements surrounding customer authentication, which led banks, card issuers, and other payment service providers to strengthen their customer authentication methods.
- The number of contactless online transactions has spiked amid the Covid-19 pandemic, contributing to market growth.