Marc Ventures Capital has led $2.8 million in seed funding for Identitypass, a Nigerian Know Your Customers verification startup.
The round was supported by Y Combinator and Soma Capital, True Capital Fund and Sherwani Capital LP as well as other unnamed venture capital funds. The startup has raised $3.1million in external funding.
Identitypass was founded in January 2021 by Lanre Obi, Niyi Adegboye and David Obi. It provides easy-to use compliance and data security solutions that help online businesses with identity verification solutions. This allows them to authenticate and validate the authenticity of any transacting party and prevent fraud.
Identitypass plans to invest in its existing infrastructure and roll out new verticals related to compliance, security and data collection. It also plans to expand into new African countries, make new hires, and increase its 14-member staff.
Since launch, more than 1,000,000 unique verifications have been processed by the startup. These end points include government-approved IDs like national IDs. International passports. Bank verification numbers (BVN), phone number, vehicle plate numbers. Security watchlists. Tax history. The cost of each verification varies depending on the number and type of end points that a business connects with.
“Before we came into the market, someone could pick another person’s BVN and use that to assess a loan facility,” said Ogungbe explaining why Identitypass takes a lot of data points into cognizance. “But with technologies like ours, we can do this kind of verification to tell that the person submitting the BVN, phone number or bank details isn’t the owner.”