Identity security platform Cloaked raises $375M

Identity security and privacy platform Cloaked has raised US$375 million in Series B funding, opening its path to the enterprise market.​

The U.S.-based startup markets itself as a one-stop shop app for consumers who want more privacy and control over their data.​

The Cloaked platform started by offering burner email addresses, phone numbers, and passwords for online accounts, along with a password manager. It then expanded into identity theft insurance, VPNs, dark web monitoring, and a data removal service that deletes personal information from data brokers.

The firm has now launched an AI-powered spam and scam blocker for unwanted calls, and is working on a secure payment tool called Cloaked Pay.

The new funding will be used to expand its consumer offering and to tap into the enterprise market. Organizations will be offered identity and password management, as well as a scam blocker that provides employees with alerts about potential scams, according to the company’s founders, Arjun and Abhijay Bhatnagar.​

The financing was led by General Catalyst and Liberty City Ventures. Other participants include privacy browser DuckDuckGo, Assurant Ventures, Fifth Growth Fund, LG Technology Ventures, Lux Capital, Human Capital, Marquee Ventures and NFL Players Association.​

Previously, the startup raised $29 million in funding from investors, including Lux Capital, Human Capital and General Catalyst.

Cloaked came out of beta in October 2023 and currently has 350,000 subscribers. The company says it has protected 10 million identities and helped users clean up more than 1 billion records from data broker sites.​

The firm is also working on an AI agent that could help users manage their aliases online and perform actions such as changing the password for a compromised service. Another goal is to protect consumers from hackers and scammers who rely on AI tools.​

“We’ve seen AI get better than humans at compromising individuals,” Arjun Bhatnagar told TechCrunch. “And we look at this as a problem of personal safety, family safety, and financial fraud. We also see [AI proliferating] around scam spam and phishing. And it comes down to now in this age around surveillance, how do you find a solution that fits between these different aspects, and we’re winning in this category from the consumer side.”

Article Topics

Cloaked  |  data privacy  |  funding  |  identity security  |  startup