InAuth said Wednesday it raised $20 million in Series A funding led by Bain Capital Ventures. Los Angeles-based InAuth provides mobile fraud prevention and mobile application security.
LAS VEGAS–(BUSINESS WIRE)–InAuth, the leading provider of mobile fraud prevention and mobile application securityhttp://www.inauth.com, today announced a $20 million Series A funding round led by Bain Capital Ventures. The investment comes after a year of record growth, where the company added four of the five largest US banks as customers. BCV managing director Ben Nye will join the InAuth board.
InAuth has quickly emerged as the leader for mobile application and browser fraud detection, enhanced authentication and security. Founded in 2011, its customers include large global banks, payment processors, e-commerce merchants, and health insurance companies.
To protect their users, application publishers embed InAuth’s technology into their apps. InAuth then secures both application data and financial transactions from malicious actors, preventing fraud and data loss.
InAuth’s CEO Lisa Stanton said, “We are excited to be partnering with Bain Capital Ventures to support our global expansion, as well as our entry into new verticals. Mobile transactions will grow at 50% CAGR over the next three years, compared to 10% CAGR for the desktop. Any business that needs to ensure trust in their mobile solutions will benefit from the products and solutions that InAuth provides.”
Bain Capital Ventures’ Managing Partner, Ben Nye led the firm’s investment. Nye said, “We are impressed with InAuth’s blue-chip client list, as well as their advanced technologies. Fraud on mobile is 70% higher than on the desktop, and we read on a weekly basis about new cybersecurity threats. Businesses must protect their users as mobile becomes the preferred customer touch-point. The InAuth team is paranoid about mobile security, so that their customers don’t have to be.”
“The combination of bank-grade authentication, cryptography and fraud detection helps create a safe transaction environment,” said George Peabody, Partner, with payments strategy consultancy Glenbrook Partners. “Multifactor authentication that doesn’t require explicit user participation keeps friction low. That’s a good thing.”
InAuth has offices in Los Angeles, Boston, and London, and is currently embedded in millions of device applications found around the globe.
InAuth is the leading global provider of solutions that help businesses limit risk, reduce fraud, and enhance authentication within their fastest-growing channels. Digital interactions via mobile phones, tablets and browsers require state-of-the-art oversight and protection. InAuth is working with leading global banks, payment networks and major retailers in North America, Europe and beyond to make device interaction a more protected, less costly channel.
About Bain Capital Ventures
Bain Capital Ventures is the venture and growth affiliate of Bain Capital, a global alternative assets platform with approximately $80 billion in assets under management. Bain Capital Ventures invests from seed-stage through growth equity in companies focused on revolutionary technology with a deep focus in infrastructure software and security analytics. Prior investments include Rapid7, ObserveIT, Archer Technologies, SevOne, SolarWinds, and VMTurbo. Bain Capital Ventures has offices in Boston, New York and the Bay Area. For more information, please visit www.baincapitalventures.com and follow us at @BainCapVC.