France-based regtech Dotfile has secured $6.7 million (€6 million) in new funding.
The spherical was led by Seaya Ventures. The corporate’s present buyers Serena and Hexa additionally participated within the funding.
Dotfile made its Finovate debut earlier this yr at FinovateEurope 2024 in London.
Recent off its FinovateEurope debut earlier this yr, Paris-based fintech Dotfile has raised $6.7 million (€6 million) in funding. The spherical was led by Seaya Ventures, and featured participation from the agency’s present buyers Serena and Hexa. In a press release, the regtech innovator indicated that the funding will energy its R&D efforts in addition to gas its worldwide enlargement plans.
Dotfile leverages AI to allow banks and different monetary establishments to automate buyer onboarding and guarantee compliance with anti-money laundering (AML) laws. The corporate’s enterprise verification platform improves upon the historically handbook, complicated, and costly Know-Your-Enterprise (KYB) course of by aggregating dozens of various knowledge sources to supply a complete image of a enterprise inside 10 seconds.
“Greater than $200 billion is invested in compliance yearly, but 2% of the world GDP remains to be going by means of the money-laundering rinse cycle, which is fueling crime,” Dotfile CEO Vasco Alexandre mentioned. “AI might change how efficient these insurance policies are and the constructive impression for our societies could possibly be huge.”
The funding in Dotfile comes at a time of rising consciousness of the significance of compliance in monetary providers – and the power of expertise to assist banks and different establishments meet these obligations. From banks in search of to maximise alternatives in fintech partnerships to cryptocurrency platforms anticipating higher readability on digital asset laws, establishments all through monetary providers are discovering themselves in an more and more dynamic regulatory surroundings. To assist firms higher handle their compliance obligations, a brand new technology of fintechs resembling Dotfile have emerged with instruments, workflows, and different options–typically AI-powered–to streamline and improve verification, guarantee correct auditability, and cut back prices.
“Compliance is costing banks as much as 10% of their income, 1 out of 4 workers work in a compliance-related place and present programs are generally greater than a decade previous,” Alexandre mentioned. “With the competitors from fintech intensifying, a transition is certain to occur and generative AI is the tipping level.”
Dotfile made its Finovate debut at FinovateEurope 2024 in London. On the convention, the French regtech demonstrated its end-to-end enterprise verification platform that empowers compliance groups to streamline their operations. The corporate was based in 2021 by Alexandre and Titouan Benoit, and obtained main assist from startup studio Hexa (previously referred to as eFounders). At this time, Dotfile has greater than 50 clients throughout 10 international locations, together with banks, non-public fairness corporations, and fintechs. Most lately, the corporate introduced a partnership with non-public market funding platform Roundtable, serving to the agency enhance its KYC course of to optimize and speed up buyer onboarding.
Picture by Paul Deetman
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