Prove Identity, a late-stage startup with roots in the ecommerce mobile payments space, on Tuesday closed a $40 million funding round as it continues a major pivot to the digital identity verification and authentication market.
The New York-based company, previously known as Payfone, said the latest investment round led by MassMutual Ventures and Capital One Ventures.
To date, Prove Identity has raised more than $215 million and rebranded itself as an enterprise vendor targeting banks, retailers and healthcare institutions.
Prove Identity, which sells smartphone-based identity verification technology to businesses, said the new capital comes amidst global year-of-year growth and will be used to launch new commerce enablement and fraud-fighting use cases.
The company said its ID verification and authentication platform is used to create frictionless consumer experiences without sacrificing security standards as new fraud vectors.
The Prove Identity technology, the company boasts, is used to secure onboarding and authentication processes, driving results such as up to 79% faster onboarding, a 35% reduction in abandonment, and a 75% reduction in fraud (relative to attack rate).
“Prove’s technology is unique in that it uses something nearly every adult already has — a mobile phone — to easily and securely verify identities in channels such as mobile, desktop, and even in-store,” the company said, noting that its customers include nine of the top 10 American banks and major global cryptocurrency exchanges and U.S. retailers.