[Boston, MA and Tel Aviv, Israel – February 19, 2019] – nsKnox, a leading provider of corporate payment protection solutions based on its innovative Cooperative Cyber Security technology platform, today announced the completion of a $15 million Series A funding round. The funding was led by Viola Ventures and M12, Microsoft’s venture fund, with the participation of Discount Capital, the investment arm of Israel Discount Bank, and previous seed investors.
The funding will enable nsKnox to expand its global customer base and to further develop its corporate payment protection platform – helping to ensure verified and secure business transactions, mitigate reputational risk and prevent billions in corporate losses.
78% of companies were victims of payment fraud in 2017 according to a recent report by the Association for Financial Professionals. With billions of dollars lost annually to cybercrime, the US Securities and Exchange Commission (SEC) is cautioning companies to consider cyber-threats when implementing internal accounting controls.
nsKnox’s real-time corporate payment protection platform helps defend organizations against cyber-fraud, internal fraud, social engineering and data manipulation attempts, throughout the journey of the payment. The technology allows organizations to validate payment authenticity, verify sender and receiver, and identify and prevent manipulations – safeguarding the payment process seamlessly across every point of transaction, including enterprise, bank, and supplier. The platform utilizes nsKnox’s innovative Cooperative Cyber Security (CCS), a new paradigm combining the strength of multiple cybersecurity systems from several organizations to secure both outbound and inbound payments from fraud. CCS is exponentially more secure than other solutions because it combines the strength of multiple entities with the most powerful cryptographic technologies available.
“Businesses are so focused on protecting their data and the identity of their users that they are not doing enough to protect the very lifeblood of their organization — their money,” said nsKnox CEO NirTenzer. “nsKnox is bringing corporate payment protection into the digital age, arming companies in the battle against payment fraud, manipulation and cybercrime. The backing of M12 and Viola Ventures is a tremendous vote of confidence in our ability to protect organizations worldwide and help them tackle this incredibly costly issue.”
“We are committed to creating an impenetrable line of defense against corporate payment fraud,” said nsKnox Founder & Executive Chairman Alon Cohen, who also founded and served as Chairman and CEO of CyberArk(NASDAQ:CYBR). “This financing round is a tremendous milestone, helping us realize our vision of protecting corporate payments with our entirely new Cooperative Cyber Security paradigm. The bad guys are working together – so should the good guys. That’s what nsKnox is all about.”
“As an early seed investor, we are excited to welcome M12 to the team backing nsKnox and proud to continue supporting this innovative FinSec company in its amazing journey,” said Omry Ben David, Partner at Viola Ventures. “Their innovative distributed and cooperative approach addresses the massive problem of payment fraud by leveraging the independent security practices of multiple trusted entities, making it exponentially harder for hackers to infiltrate.”
“The evolving nature of cybercrime creates a perpetual challenge for businesses to detect and mitigate fraudulent behavior, which costs corporations significant amounts of money every year,” said LiorLitwak, Principal at M12. “nsKnox’s corporate payment solution solves a critical business issue at scale, saving businesses the time, money and headache that result from fraudulent threats. We look forward to being a part of nsKnox’s journey as they grow andexpand.”
nsKnox is forging partnerships with leading financial institutions worldwide with the aim of redefining the global standard for corporate payment cybersecurity. With this funding, nsKnox will focus on advancing its go-to-market strategy and enhancing its capabilities to ensure customer success globally.