Regfyl, a Nigerian startup, has raised $1.1 million in pre-seed funding for digital identity verification and fraud detection tools. The funds will strengthen their sales, engineering, and customer support teams and develop a supply chain compliance product. Regfyl helps businesses with customer onboarding, transaction monitoring, and fraud prevention.
Founded in 2023 by Tunde Ibidapo-Obe and Tomiwa Erinosho, Regfyl provides essential services for businesses including customer onboarding, transaction monitoring, and fraud prevention.
Regfyl’s services are valuable to financial institutions, assisting with regulatory reporting to agencies like the Securities and Exchange Commission (SEC) and the Central mi Bank of Nigeria (CBN). They charge a yearly subscription fee of ₦2 million ($1,220) for full access to their platform and additional per-use fees for each customer or business screened and monitored.
Fraud detection is a growing concern in Nigeria, with banks losing millions to fraud in just the second quarter of 2024 alone! Regfyl is part of a movement to help financial institutions detect and prevent fraud more effectively. They believe they have an edge by offering a comprehensive compliance solution that covers all key areas.
Regfyl faces rivals like SmileID, Dojah, and Youverify, which also provide KYC (Know Your Customer) compliance services. However, Regfyl believes its comprehensive compliance solution sets it apart. “We looked at what compliance managers handle daily and created a system that manages everything for them in one place,” said co-founder Tomiwa Erinosho.
As Regfyl continues to grow and refine its services, it is well-positioned to play a significant role in helping businesses and financial institutions reduce fraud risk and stay compliant with regulations in Africa’s rapidly expanding digital economy. With trust being everything in today’s digital economy, Regfyl aims to be the system that upholds this trust across Africa.
The funding round was led by Rally Cap, with additional investments from Techstars, DCG, Musha Ventures, Africa Fintech Collective, and other angel investors.
Regfyl distinguishes itself from competitors by offering a comprehensive compliance solution that integrates various aspects of regulatory requirements into a single platform.
