AI company, Riskified, out of Tel Aviv has just completed a capital raise of $165 million which means the company is now valued at over $1 billion dollars.
A “Unicorn” refers to a startup reaching or exceeding $1 Billion in value. That puts Riskified squarely in Unicorn status and make them one of the hottest fraud start-ups in history.
Led by global growth equity firm General Atlantic, Riskified will use the additional funds to scale both domestically and globally.
Riskified is big. They currently employ over 420 employees at its Tel Aviv and New York offices and they are planning to open an office in Shanghai later this year.
Riskified is growing like crazy enjoying a 250% compound annual growth rate over the past five years.
They claim to protect about 500,000 transactions each and every month protecting against billions in losses.
What’s most exciting about this funding is what it will allow us to do. We’ll use these funds to accelerate our product development and further expand our geographic footprint. We’ll be able to offer even more solutions that help merchants drive revenue and deliver a better customer experience. The new clients and partners that we onboard and the new products we deliver will, in turn, increase our accuracy and improve our performance.Eido Gal, Founder Riskified
Pioneers in Fraud Guarantee and Machine Learning
Founded by Eido Gal and Assaf Feldman in 2013, what started out as a simple idea is now a scalable solution trusted by hundreds of global brands.
From luxury fashion houses and retail chains to gift card and ticket marketplaces, the company has focused on providing merchants of all sizes a guarantee against fraud.
Using their machine learning and scores, merchants can elect to pay a single per transaction cost which indemnifies them against any fraud loss. If a merchant suffers a chargeback related to a transaction approved by Riskified, the company will cut the merchant a check to reimburse them for the loss.