Singapore-based startup offering payee verification and identification solutions, iPiD (International Payment Identity), has just announced closing its pre-Series A funding worth US$5.3 million.

The raise, led by Monk’s Hill Ventures and joined by Quona Capital, QED Investors, Jungle Ventures, 1982 Ventures, Saison Capital, and Resolution Ventures, will be used to develop new products. The startup also is eyeing expansion into Southeast Asia and Europe.

In this interview with e27, iPiD co-founder and CEO Damien Dugauquier discusses the products and business expansion.

Edited excerpts:

Can you explain iPiD’s underlying technology? How does iPiD’s approach to preventing payments-related fraud differ from existing solutions in the market, and what unique advantages does it offer?

iPiD is an API-first platform that exposes its API to customers worldwide. It connects to various bank account validation schemes globally and improves them through intelligent routing and mapping.

Our flagship offering, Validate, tackles the escalating issue of fraud and failed payments within the payment industry by confirming payee names and bank account details

Also Read: iPiD bags US$5.3M in pre-Series A financing for its payee verification, identification solutions

Our approach is unique; we add value when connecting to schemes and remove the pain of connecting to many different schemes globally. We translate everything into a single API, making integrating the various flavours of Verification of Payee globally much easier for PSPs.

On top of this, we are developing solutions that include risk ratings to support pre-payment validation and AI-enabled account and name matching: more to come on this in the next quarter.

With the recent US$5.3 million pre-Series A round, what strategic priorities has iPiD identified for deploying these new resources, particularly in the Asian and European markets?

The new funds will be used to develop new products that prevent payments-related fraud and intensify iPiD’s focus on strategic markets such as Asia, including Southeast Asia, where we already have a significant team presence and operations. This region is pivotal as one of the largest remittance-receiving regions supported by vibrant economies.

Additionally, this funding will support the commercial rollout of our solutions in Europe, particularly aiding financial institutions in complying with the upcoming Verification of Payee regulation, which will be enforced by 2025.

In light of the upcoming Verification of Payee regulation in Europe by 2025, how is iPiD preparing to support financial institutions in achieving compliance, and what challenges do you foresee in this regulatory landscape?

Our iPiD Node is fully ready and ensures compliance with both the European regulation, the EPC scheme, and the UK’s Confirmation of Payee scheme.

What specific measures is iPiD implementing to ensure the security and reliability of its payment validation technologies in regions with less robust financial infrastructure?

iPiD is ISO 27001-certified and, therefore, operates at the highest level of information security. We have a highly secured API infrastructure and encrypt data end-to-end. At the same time, we actively monitor flows on the platform to detect anomalies and act on them.

Also Read: Digital scams are on the rise – Is Asia ready for the fight?

Could you provide insights into the key milestones iPiD aims to achieve in the next 12 months following this funding round?

iPiD’s focus will triple in the coming 12 months: supporting Payment Service Providers in Europe to comply with Verification of Payee regulations, expanding our reach in Southeast Asia as a remittance-receiving region, and driving product development to prevent payment fraud from our development hubs in Singapore and Kuala Lumpur.

As iPiD expands its presence beyond Southeast Asia, what key factors will influence its entry strategy into new markets, and how will it adapt its solutions to meet the diverse needs of different regions?

iPiD is a global company able to serve PSPs in any region. Initially, iPiD will focus on regions where regulation is developed or in force regarding bank account validation and regions with high remittance flows.

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Image Credit: iPiD.

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