India, with its large population and growing digital presence, is facing a significant increase in cyber fraud. The government estimates that cyber fraud could reach 0.7% of the country’s GDP, equivalent to over $14 billion, in the coming year. Despite efforts to combat this issue through new regulations, businesses are often burdened with the need to constantly update their technology.
In response to this growing challenge, a Hyderabad-based startup called Equal has emerged with a solution. Equal offers a range of products focused on identity verification and financial data sharing to help businesses streamline their processes. By integrating with more than 50 identity databases and thousands of API providers, Equal aims to simplify know-your-customer (KYC) requirements, fraud prevention, and regulatory compliance.
One of Equal’s recent strategic moves was acquiring a stake in account aggregator OneMoney to combine identity verification services with consent-based financial data sharing. This partnership aims to address the challenges around data sharing in India and ensure that it is done securely and with consent.
Equal has quickly gained traction in the market, attracting over 350 customers including major players like State Bank of India, HDFC Bank, and Uber. Recently, the startup raised $10 million in a Series A funding round led by Prosus Ventures, with participation from other investors like Blume Ventures and DST Global. This funding will enable Equal to scale its operations, expand its product suite, and establish more strategic partnerships.
While there are other players in the market such as Perfios, IDfy, and Bureau, Equal differentiates itself by acting as an aggregator and collaborating with competitors. This approach has resonated with customers like Upstox, a trading platform that has been using Equal for identity verification and account aggregation.
Ravi Kumar, co-founder and CEO of Upstox, highlighted the cost-effectiveness and reliability of Equal’s technology as key factors in their decision to partner with the startup. With Equal’s ability to aggregate data from various sources and maintain high uptime, Upstox has been able to process a significant number of transactions each month.
In conclusion, as India grapples with the rising threat of cyber fraud, startups like Equal are playing a crucial role in providing innovative solutions to safeguard businesses and consumers alike. With its focus on identity verification and data sharing, Equal is poised to make a significant impact in combating digital fraud in the country.
