A.ID, an identity and compliance platform with a focus on high-risk clients, has closed a pre-seed investment round of $500,000 from angel investors including former employees of RobinHood, Square and Snap.
According to the startup, it addresses a market traditional Fintech firms and banks cannot deal with. This is the rise in allegedly ‘risky customers’ who simply trade in problematic products. One example is the 67% annual growth in legal cannabis and 46% for crypto. The unbanked, underbanked, and growing population of the cannabis industry are increasing every day. However, existing financial institutions do not seem to be able to serve these rapidly expanding markets.
Ekaterina Romanovskaya (a third-time entrepreneur who is experienced in finance, consumer tech and marketing) founded A.ID. A.ID operates as a B2B2C platform. Justinas Kaminskas has also launched European compliance products.
Romanovskaya stated that “our end-game was to build trust. End-users trust businesses with their sensitive information, and companies trust end-users not to engage illegal activity.” This trust is vital and it’s something we look forward to every day.
A.ID claims its software allows customers to check their identities, onboard their customers, do standard and enhanced due diligence and screen businesses and individuals against watchlists. It also monitors their payments and creates and resolves compliance cases. Clients can report any suspicious activity to regulatory authorities. It can be integrated via an API (application programming interface), or as a web-based application or SDK.
It currently counts Arival as a digital bank to support emerging industries and Clos as a social network that allows creators to verify their users.
“I moved permanently to the USA in 2017 However, I had difficulty getting the right attention from VCs. I was a woman founder, immigrant founder and a founder with no technical knowledge. My company, which I started by myself, grew organically up until it was decimated by the COVID-19 epidemic. The 2020 lockdown allowed me to learn data science and code and I became a data engineer. In September 2020 I founded A.ID,” Romanovskaya told TechCrunch.
Romanovskaya was a Twitter celebrity Russia after she founded a Twitter account that satirized the Kremlin. It had over 2M users at its peak. In 2016 she co-founded Nimb, a fashionable smart ring with an in-built panic button aimed at women.
A.ID headquarters is located in Los Angeles (California), the US. With an office in Lithuania, the European branch is active in EU.
Publiated Mon, 6 Sep 2021 at 20:38.42 +0000