Fraud Detection Startup IDfy Nets ₹476 Cr To Enter New International Markets
•February 13, 2026
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Companies Mentioned
Why It Matters
The infusion of capital positions IDfy to scale globally as demand for AI‑driven fraud mitigation and data‑privacy solutions surges, reinforcing India’s emerging cyber‑security export ecosystem.
Key Takeaways
- •IDfy raised ₹476 Cr ($52.5 M) in Series F round.
- •Funding targets acquisitions, global expansion, and product suite upgrades.
- •Over 500 enterprise clients, 500 M checks performed annually.
- •Launches privacy suite to meet India's DPDP Act compliance.
- •Competes with Bureau, Signzy, Helloverify, Karza in fraud detection.
Pulse Analysis
India’s identity‑verification market is entering a phase of rapid consolidation, and IDfy’s latest funding underscores that momentum. By raising a sizable Series F round, the company can accelerate its cross‑border rollout, leveraging its AI‑ML‑powered TrustStack to address onboarding and risk‑mitigation challenges in Southeast Asia and the Middle East. The capital also enables strategic bolt‑on acquisitions, allowing IDfy to integrate complementary data‑sources and broaden its service catalog beyond background checks to full‑stack privacy governance.
Regulatory pressure is a key catalyst for growth. The recent notification of the Digital Personal Data Protection (DPDP) Act has heightened compliance requirements for enterprises handling personal data. IDfy’s newly launched privacy suite directly addresses these mandates, offering automated consent management, data‑mapping, and audit capabilities. This positions the firm as a one‑stop solution for sectors such as BFSI, e‑commerce, and gaming, where breach penalties and reputational risk are especially acute. Competitors like Bureau and Signzy are also expanding, but IDfy’s extensive client base and proven volume of checks give it a defensible market foothold.
For investors, the round signals confidence in Indian cyber‑security startups as scalable, export‑ready businesses. The blend of primary and secondary funding provides liquidity for early backers while injecting growth capital for the company’s next phase. As global enterprises seek trustworthy digital onboarding partners, IDfy’s international ambitions could translate into multi‑digit revenue growth, reinforcing India’s reputation as a hub for high‑impact security technology. The company’s trajectory will likely influence valuation benchmarks for peer firms in the fraud‑detection ecosystem.
Fraud Detection Startup IDfy Nets ₹476 Cr To Enter New International Markets
Online identity verification platform IDfy has raised ₹476 Cr (about $52.5 Mn) in its Series F funding round in a mix of primary and secondary components. The round was led by Neo Asset Management, with participation from existing backers Blume Ventures, Analog Capital, Elev8, IndiaMART, and Kae Capital.
The startup, in a statement, said the funding will be used for strategic acquisitions, entry into new international markets, and strengthening its product suite.
Without disclosing the names of investors taking exit via secondary transaction, cofounder and CEO Ashok Hariharan said, “This secondary component provides an exit for our early backers and team members who believed in our vision when trust infrastructure wasn’t yet a category.”
Founded in 2011 by Hariharan and Vineet Jawa, IDfy provides a digital trust stack that helps users authenticate and validate individual profiles using predictive analytics via services such as background verification, customer insights and end-to-end HR intelligence for recruitment. IDfy’s TrustStack platform offers solutions for digital onboarding, risk mitigation and privacy governance.
Apart from India, it operates in regions like Southeast Asia and the Middle East. Equipped with AI/ML capabilities and banking grade security, the startup claims to have worked with over 500 enterprise clients across sectors like BFSI, FMCG, ecommerce, gaming, sharing economy, and conglomerates, and conducted more than 500 Mn checks annually.
In 2024, the IDfy launched a privacy and compliance suite to help enterprises achieve full compliance with the Digital Personal Data Protection Act. The electronics and IT ministry (MeitY) notified the DPDP Act 2025 in November to supervise the use of personal data by setting standard procedures for collecting, accessing and safeguarding the data.
Prior to this round, the startup raised $27 Mn from Elev8, KB Investment and Tenacity Ventures in Series E funding round in 2024 to fuel its expansion plans and product development. Overall, it had raised about $66 Mn prior to the latest round from investors like Blume Ventures, IndiaMART, Faktory Ventures, among others.
The Mumbai-based fraud detection startup competes with Bureau, Signzy, Helloverify, Karza Technologies, among others.
The funding comes at a time when the need for data protection has never been higher due to the increasing risks of online fraud and data theft. With the Centre’s push for data protection, investors are betting on startups that operate in the online fraud detection and cyber security segments to keep sensitive information safe.
For instance, AI-native data security platform Matters.AI raised INR 42 Cr ($4.7 Mn) in October last year to scale its presence, invest in R&D, improve its reasoning capabilities, and increase integration capabilities.
The post Fraud Detection Startup IDfy Nets ₹476 Cr To Enter New International Markets appeared first on Inc42 Media.
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