#USA #New York #iPiD #Payment Verification #Foundation Capital

IPID Secures $16 Million Funding

IPID, a prominent payment data company that aids institutions in identifying payment recipients, has announced the successful completion of a $16 million Series A funding round. This significant investment is led by Foundation Capital, with participation from prominent strategic investors such as Citi and HSBC, alongside existing investors QED Investors, Monk's Hill Ventures, and Quona Capital.

Digital payments have evolved rapidly, becoming faster and more seamless. However, the information necessary to assess these transactions has often lagged. Financial institutions frequently face challenges in verifying the recipient of payments or might lack sufficient information to evaluate risks prior to transferring funds. This responsibility often falls to the sender, who could potentially be the target of fraud. According to projections from LSEG, losses due to fraud in authorized push payment systems could reach a staggering $331 billion globally by 2027.

As a leader in bank account verification, IPID supports major financial organizations in over 50 countries. The company plans to expand its platform, applying its expertise in fragmented payment markets to the US payment landscape and digital assets. This will furnish institutions with the critical data required to make informed decisions before transferring their funds.

Damien Dugauquier, co-founder and CEO of IPID, remarked on the urgency of this development: "Every payment begins with a decision, but institutions often lack complete information to make those decisions. We have begun solving the bank account verification challenges worldwide. Now, we are developing the comprehensive decision intelligence that institutions require before moving funds—across countries, payment paths, and asset types. The future of payments depends not only on the speed of transactions but also on the quality of decisions made prior to the movement of money."

The rapid rise of real-time payments, the emergence of new payment channels, and the increasing use of AI agents to initiate transactions have accelerated the trend towards faster and more automated payments. However, critical information needed by financial firms before executing payments remains fragmented across markets, providers, and payment channels. IPID addresses this gap by enabling financial institutions to verify the identities behind beneficiary accounts even prior to finalizing payment transactions.

In a statement emphasizing the strategic importance of IPID, Bis Chatterjee, Global Head of Partnerships and Innovation at Citi Services, expressed enthusiasm regarding IPID’s mission to provide immediate and secure payment validation. “Our strategic investment in IPID is about deepening our collaboration, and we are excited about their potential to deliver a globally unified, powerful experience that helps our clients streamline their international operations confidently."

Additionally, Tom Simpson, Global Head of Currency Clearing at HSBC, noted, “The partnership with IPID allows us to enhance beneficiary verification capabilities beyond local payment system requirements, giving our clients greater insight into their payment transactions. This is pivotal in improving efficiency and security within an increasingly dynamic payment ecosystem.”

With the raised funds, IPID plans to expand its global payment information network, accelerate growth in the United States and Europe, and develop new features. These advancements aim to empower institutions to make well-informed decisions and optimize payment processes before funds are transferred via US payment systems, stablecoins, and other digital assets.

About IPID

IPID specializes in decision support for banks, payment service providers (PSPs), platforms, and businesses managing money transfers. Throughout the entire payment lifecycle, IPID assists in verifying recipients and assessing fraud risks, ensuring compliance with regulatory obligations while enhancing risk evaluation, payment monetization, and enriching payment data. This equips institutions with security, control, and protection, culminating in reduced fraud incidents, lower operational costs, and an improved customer experience.

For more information, visit www.ipid.tech.