Parallel Markets acquires Passbase assets to make KYC faster, more efficient
Germany-based digital identity verification and selfie biometrics provider Passbase has sold assets to U.S.-based reusable identity company Parallel Markets to cement the latter’s position as a provider of portable KYC checks.
Parallel CEO Tony Peccatiello says the company is a leader in the reusable digital identity space, and that combine the assets from Passbase with its technology will help deliver “seamless, secure and immediate onboarding.”
The company says that KYC and AML checks for financial services are known for being slow and frustrating, with organizations’ wasting money on redundant processes. KYB checks are even slower, and fraud rates continue to soar, with up to $2 trillion laundered annually.
Parallel addresses the situation with technology for a single identity verification enabling users to share data with financial institutions in a way that ensures regulatory compliance while speeding up onboarding. Its software also provides insights into cross-platform relationships that can help reduce money laundering, according to the announcement.
Passbase has grown to authenticate government-issued ID documents from more than 190 countries, and pairs this capability with face biometrics for identity verification. It raised $13.5 million in a series A funding round in late-2021 to build a policy and workflow manager for its biometric ID verification service, and scale its operations.
“At Passbase, we’ve always believed that robust compliance solutions shouldn’t burden businesses or users,” says Dave McGibbon, CEO of Passbase. “By joining Parallel, we’re excited to offer a more comprehensive set of customer solutions and accelerate the adoption of digital identity network products.”
McGibbon will join Parallel Markets as its VP of Strategy.
The terms of the transaction were not disclosed.