Business

Brazilian startup idwall raises a $36 million Series C round for identity validation platform

The digital anti-fraud authentication startup, with clients such as Quinto Andar, EBANX and Olist, will use the funds to new products and hiring

Raphael Melo, COO and Lincoln Ando, CEO of idwall. Photo: idwall/Courtesy
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  • Idwall will use the $36 million to accelerate growth, invest in launching new products and hiring;
  • Currently, idwall has a team of 150 people and the forecast is to double that number by the end of 2021;
  • The Series C round was led by Endurance;
  • GGV Capital, Peninsula, monashees, Canary, Qualcomm Ventures, ONEVC, Grupo Globo, Peninsula and Norte also took part.

idwall, a Brazilian digital anti-fraud authentication startup, announced this week that it raised a $36 million Series C round led by the family office Endurance. GGV Capital, Peninsula, monashees, Canary, Qualcomm Ventures, ONEVC, Grupo Globo, Peninsula and Norte also took part in the investment.

Created in 2016 by Raphael Melo and Lincoln Ando, former developers at Banco Original, the startup offers a set of solutions for identity validation, digital onboarding and anti-fraud and compliance processes focused on the B2B market. In addition to this model, it also has a service for end consumers called MeuID, an identity application that allows users to gather all their data in one place.

According to Hans Tung, managing partner of GGV Capital, one of the funds investing in the company, “idwall is leading the discussions and innovations in Brazil regarding digital onboarding and identity validation”, highlights the investor. “And their B2C digital identity app MeuID could be the first true super-app in Latin America.”

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With over 300 clients such as Cielo, EBANX, Olist, Loggi, iFood and Quinto Andar in its portfolio, the startup also has a strategic partnership with Mastercard, focused on business expansion and creation of new products.

The new resources will be used for accelerating growth, investing in the launch of new products and in hiring and training more professionals. Currently, idwall has a team of 150 people and the forecast is to double this number by the end of 2021.

“The more digitized companies become, the more client expectations grow — and market competition grows stronger. Our mission is to always stay ahead of innovation in our market, and that’s why we invest so much in growth and in building the best possible team to develop our products” says Lincoln Ando, founder and CEO at idwall.

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Without opening absolute numbers, the startup reveals that between 2017 and 2020, it recorded a 1458% growth in total revenue, with an average annual growth of 144%. In the comparison with 2019, driven by the pandemic, idwall increased its revenue from financial market contracts by 588%.

According to the startup, its customers have access to more than 250 data sources, which query everything from Brazilian public agencies to private sources. At the beginning of operations, idwall had three sources. With the growth in the volume of queries, the startup‘s registration base also increased, from 2017 to 2020, by five thousand times.

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