As we emerge slowly into a post-COVID economy, with companies managing distributed workforces, internationally based contractors, multinational suppliers, and more, the financial system, and more prominently, cross-border money transfers have seen serious increase through new digital platforms. Though, with the money usually comes crime, banks and financial institutions have become key targets for money laundering, theft, and other digital crimes; through those very same new cross-border money transfer channels.

Israeli startup ThetaRay is looking to ensure that these transfers go as smoothly as possible. Today (Tuesday), announcing the completion of a $31 million funding round, from JVP and new investors Eric Benhamou, investing through Benhamou Global Ventures, and Saints Fund. Also participating in the round were existing backers, including OurCrowd, Bank Hapoalim, SBT and others also participated in the round.

From Nigeria to Ukraine

ThetaRay has developed an AI-powered  transaction monitoring platform aimed at helping secure and streamline the estimated $25 trillion global payments market. The company uses advanced machine learning technologies to provide crime prevention services for the financial sphere, from governments and banks to private companies who are reliant on secure money transfers. The platform analyzes SWIFT traffic, risk indicators and client/payer/payee data to detect anomalies indicating money laundering activity across complex, cross-border transaction paths, and determine in real-time the validity behind the transfer.

ThetaRay’s platform can be easily integrated and deployed within days, with minimal implementation required. According to the company, through its cloud solution more companies will be able play in the previously big bank dominated payment transfer game, with the platform providing compliance and regulatory standards similar to the systems major banks use. As a result, the company can offer a secure transfer path to the global financial system, which includes banks of all sizes, governments, fintech companies, payment service providers (PSPs) and all currencies, including digital ones.

Mark Gazit, CEO, ThetaRay, said: “We are on the verge of a real revolution in securing the global financial system. During this period, when the cross-border payment network has become the lifeblood of the world trade infrastructure, ThetaRay is here to instill certainty and reduce risks in secure cross-border payments. Furthermore, ThetaRay’s unique and reliable solution allows full detection of known and unknown threats, as well as a 99% alert reduction compared to legacy systems. Our target market has become almost endless with the launch of our cloud solution, which guarantees the company’s aggressive growth in the coming years. We thank our existing investors, especially JVP, for their trust in the company and its solutions, and welcome the new investors that have joined us."

ThetaRay was founded in 2013 by CEO Mark Gazit, Ronald Coifman, and CTO Prof. Amir Z. Averbuch. The company has raised $90 million to date, and intends on using the new capital to expand its cross-border payment revolution to the global market. Along with the funding announcement, ThetaRay also revealed partnerships with the governments of Nigeria and Ukraine, which have implemented the Israeli technology to fight digital money laundering. These two customers join the company’s list of leading banks utilizing the fintech security solution, including Banco Santander.

“ThetaRay’s technological prowess is truly impressive. Its product enables financial entities to reduce the fraud risks associated with correspondent banking, reduce operational costs, improve their service and increase profits. I am confident that the investment in ThetaRay will produce significant return for BGV and I am happy to back a world class team driving a disruptive innovation in the global payments market, added Eric Benhamou, Founder and General Partner of BGV.