Payfone announced that it has raised $23 million to expand its cybersecurity services in the retail, insurance, and healthcare sectors.
The round was led by an institutional investor with participation by Synchrony Financial, MassMutual Ventures, Anil Aggarwal and Jonathan Weiner, the founders of Money20/20, Shoptalk and HLTH; and Andrew Prozes, the former global CEO of LexisNexis.
As the world’s leading digital identity authentication network, this financing will enable Payfone to continue to offer its digital identity authentication services that helps companies battle fraud while still boosting customer satisfaction, enabling clients to increase their revenue.
“Our research shows that by 2020, 2/3 of eCommerce sales will be conducted by adults under 40. This next wave of customers will be mobile-first and will expect transactions to be both fast and secure,” said Rodger Desai, Founder and CEO of Payfone. “The days of using quizzes, questions and one-time codes to verify identity are numbered. Payfone is ushering in a new world where authentication is instant, passive and continuous using the most advanced cybersecurity. Our mission is to help clients across the financial, retail, insurance, healthcare, and technology industries use authentication to not only thwart fraud but drive revenue.”
Payfone’s services have been utilized by many of largest companies around the world, including 6 of the top 10 banks in the United States. And its patented passive authentication platform is now a Consumer Protection finalist in the Edison Awards, which acknowledges innovative solutions and products created in the spirit of Thomas Edison.
“Synchrony is committed to exploring emerging technology to better serve our partners and customers,” said Michael Hensinger, SVP and Senior Managing Director, Synchrony Ventures. “Our investment in Payfone enables Synchrony to deliver innovative mobile authentication solutions that will continue to improve the customer experience. We are excited to work with the Payfone team and continue our focus on eliminating friction from the authentication process for our customers.”