Artificial intelligence FinTech Feedzai announced Wednesday (Aug. 4) it has acquired Revelock, a behavioral biometric platform.
The companies say their combined capabilities allow financial institutions and merchants around the world to detect and stop financial crime before it happens.
“More than 20 percent of the world’s money flows through Feedzai, and we secure the bank accounts of 1 in every five people,” said Feedzai CEO Nuno Sebastiao. “We already knew what transactions took place for more than 800 million consumers. Revelock adds the intelligence of how a transaction takes place. Combined with the why from using Feedzai’s Responsible AI, we’re moving to the next level of machine precognition.”
The companies say their new FIN will create a vault of more than 1 trillion data points, sessions and “profiles of both good and bad actors,” helping customers determine what transactions are fraudulent.
Feedzai research shows ATM withdrawals down 58 percent in the U.S. over the past year. It also points to data from Zelle showing 41 percent of consumers switching to online and phone payments, many of them with no plans to switch back.
“The early days of the pandemic forced many businesses, both small and large, to move to contactless, digital payments to reduce the possibility of exposure to COVID-19, accelerating cashless commerce,” the companies said.
This shift offered conveniences, but also gave criminals new opportunities to commit fraud and put more risk burden on banks, payments processes and merchants.
“As the digital economy evolves from barter to crypto, Feedzai recognizes that security is crucial to modern commerce, providing consumers with peace of mind when transacting online, and lowering the risk for financial institutions and merchants,” the company said.
Earlier this year, Feedzai announced it had raised $200 million in a Series D funding round that valued the company at more than $1 billion.