Quantifind, the leader in AI-powered financial crime intelligence, has successfully raised a sum of $22 million in a new round of funding.
According to certain reports, the stated funding came from Deloitte Ventures and Stephens Group, as well as existing investors, Citi Ventures, S&P Global, DNS Capital, and USVP. Arriving on the back of Quantified’s 200% growth in 2024, this investment will help the company launch its new Payments Risk Intelligence solution.
More on that would reveal how Quantifind’s advanced transaction screening for payments makes it possible for financial institutions to proactively mitigate financial crime and sanctions risks, while simultaneously allowing the uninterrupted flow of legitimate payments.
Before we dig any further, we must take into account how current legacy sanction screening solutions, which are being used for the said purpose, rely on simple fuzzy matching, thus delivering a dangerously-high number of false positives. Not just that, a large chunk of such systems also lack contextual analysis of counterparty relationships, meaning they assess transactions in isolation and end up missing out on various key risk patterns.
This limitation, like you can guess, treads up a long distance to drain resources, create operational bottlenecks, and allow critical threats to go unnoticed.
In response, Quantifind’s Payments Risk Intelligence solution combines speed, scale, and accuracy; along with cutting-edge technological advancements, to address the dynamic and high-value nature of transaction and name screening. The new technology will be a part of the company’s flagship platform named Graphyte.
“AI has become the weapon of choice for fraudulent and criminal actors within the financial services ecosystem,” said Ryan Morrow, Managing Director at Stephens Group, “Our investment in Quantifind reflects our belief that Quantifind’s AI Graphyte technology tips the balance back in favor of bank compliance and law enforcement.”
Talk about what kind of value Graphyte will be able to deliver moving forward, we begin from its knowhow in leveraging the latest GPU-based AI transformer models, all for the purpose of extracting, matching, and alerting on the correct entity. This the platform also does by maximizing signals from metadata and hidden features. Other solutions within the Graphyte ecosystem will be tasked with creating arbitrary distinctions between name matching, entity resolution, and high false positive rates.
Next up, the platform will have the means to provide precise language models. To understand the significance of such a feature, we must take into account how hidden relationships and dynamic risk typologies require the accuracy of large language models with the speed of real-time machine learning. Now, while there are open-source solutions in play, they haven’t quite shown to offer the simultaneous speed and accuracy of Graphyte.
“Quantifind’s recent $22 million funding round reinforces the market need for true AI-native solutions in financial crime intelligence,” said Jay Crone, Managing Director of Deloitte Ventures: “Throughout our due diligence, Quantifind’s products stood out for their ability to leverage AI to deliver material efficiency improvements.”
Then, there is the prospect of accessing AI model implementations for enterprise scale. Here, Graphyte effectively separates feature discovery from runtime decisions. In fact, at Tier-1 banks, the platform has already proven to screen tens of millions of entities in hours, enjoying sub-100-ms API response times.
Another detail worth a mention is rooted in Quantifind’s real-time data engine, designed for fast AI. For better understanding, we must take into account how the company’s proprietary Real-Time Cluster (RTC) happens to be a purpose-built, distributed query and storage engine, which is specifically optimized for speed and scale.
It banks upon patented in-memory data management techniques and advanced name science to facilitate rapid extraction of critical signals from terabytes of unstructured data. Such a mechanism allows the engine to search billions of documents in real-time with unparalleled efficiency, and therefore, deliver insights at the speed modern compliance demands.
Rounding up highlights would be Graphyte’s built-in AI controls and oversight capabilities. Meant to provide transparency across the entire model, these controls and capabilities protect the platform against any AI bias.
“Graphyte for payments transaction monitoring and screening represents the culmination of our commitment to delivering unmatched speed, accuracy, and scalability,” said Ari Tuchman, CEO and co-founder of Quantifind.