Resistant AI Secures $16.6M to Fight Fraud with Fintech Tools

Resistant AI Secures $16.6 Million in Series A Funding

Resistant AI, a company leveraging artificial intelligence to bolster defenses against fraud and financial crime within the financial sector, has successfully completed a $16.6 million Series A funding round.

Investment Details

GV (previously known as Google Ventures) spearheaded the investment. Participation also came from existing investors, including Index Ventures (led by partner Jan Hammer), Credo Ventures (led by Ondrej Bartos and Vladislav Jez), and Seedcamp. Furthermore, several angel investors specializing in financial technology and security contributed to the round.

Company Expansion Plans

Founded in 2019 and headquartered in Prague, Resistant AI intends to utilize the new capital to address increasing demand from financial institutions globally.

Specifically, the funds will be allocated to expanding the company’s product development, engineering capabilities, and sales teams, building upon its current presence in London and New York.

Current Customer Base and Capabilities

The startup currently serves 30 customers utilizing its specialized anti-fraud security solutions.

These solutions incorporate machine learning for detecting fraudulent documents and AI for identifying suspicious transaction patterns.

Market Impact and Client Portfolio

Resistant AI’s clientele encompasses banks, insurance providers, and fintech companies.

While refraining from naming its largest clients, the company cites KBC, Payoneer, Habito, and Twisto as examples.

Collectively, these customers process tens of millions of transactions monthly.

Within its native Czech Republic, Resistant AI collaborates with banks controlling a combined 50% of the market share.

Prevalence of Financial Document Fraud

Analysis of customer data reveals significant levels of document manipulation:

• 17% of bank statements used for applications and regulatory compliance are altered.
• 11% of U.K. payslips submitted with loan applications are forged or modified.
• 15% of company registration certificates presented during bank account openings globally are fraudulent.
• 9% of utility bills submitted as proof of address worldwide are falsified.

Vision and Future Outlook

“Our mission is to create an intelligent shield for autonomous financial systems, to protect them against these ever-evolving, ever-smarter attacks,” stated CEO Martin Rehak.

“That’s the only way we can avoid epidemic fraud, mountains of manual reviews and four-factor authentication on every single online service.”

Investor Perspective

Tom Hulme, General Partner at GV, commented: “Resistant AI’s founding team has unique expertise in applying AI and machine learning to detect complex and evasive behavior.

Early customer traction demonstrates an ability to uncover unknown threats, and reliably categorize and reduce false alerts with transparent, explainable and verifiable detection models.”