‘Regtech’ startup FrankieOne lands $23 million in Series A

Regtech startup FrankieOne just secured $23 million in Series A funding led by Airtree Ventures and Greycroft. And if you thought the term ‘regtech‘ was made up — likewise.

The lead investors are joined by crypto bigwigs, Binance Labs and Kraken Ventures, bringing the total funding to date to $45 million. Investors from previous rounds include Bumble, HuffPost, Venmo, Reinventure, Tidal Ventures and Apex Capital Partners.

FrankieOne is a regulatory tech firm (hence, ‘regtech’) that helps fintechs and banks manage KYC, AML and fraud from a single platform.

Founders Simon Costello and Aaron Chipper were originally looking into the world of neobanking. They soon learned that the current onboarding processes for customers were difficult to use and not streamlined. And this was a problem because getting these details wrong can be a huge compliance issue that comes with serious fines.

So the pair pivoted to product creation instead, designing a single API and dashboard for clients and customers to use and more easily understand.

Some of the platform’s customers include Westpac, Shopify and Afterpay.

“We have been laser-focused on improving the onboarding customer experience and have been overwhelmed with the response, now helping over 170 financial institutions globally,” co-founder and Costello said in a statement.

“We attribute our growth to our unique offering which guarantees the best onboarding verification pass rates coupled with our ability to enable customers to seamlessly switch on their choice of fraud detection tools. Our platform is helping drive business growth and allows our customers to respond quickly to trends in fraudulent behaviour and changing regulations, which is particularly helpful, given the increase in fraud.”

The company currently operates in 48 markets and claims four times revenue growth in the last 12 months. It will be using the fresh cash injection to further expand its operations across banking, fintech, crypto and gaming companies in North America and the Asia Pacific.