Sigma360 Raises $17 Million to Fund Financial Crime Prevention

Financial crime and compliance platform Sigma360 has raised $17.3 million in new funding.

The company says its Series B round, announced Tuesday (March 10), will help it strengthen its risk intelligence datasets, deepen its artificial intelligence (AI) automation capabilities and expand Sigma360’s presence among financial institutions.

“We live in an increasingly risk-on world, where financial crime is evolving faster than traditional approaches can keep up,” founder Stuart Jones, Jr. said in a news release. “To solve this, we’ve built the first full-stack platform that unifies risk data, intelligence, core technology, and AI – accelerating and strengthening decisioning across every level to help our clients manage risk, meet regulatory expectations and protect the integrity of the global financial system.”

The release notes that Jones founded Sigma360 following a career in the U.S. Treasury Department and National Counterterrorism Center, where he witnessed the way legacy know your customer (KYC) and screening systems failed banks and payment companies.

According to the release, Sigma360 protects more than $2 trillion in assets and company value, plus billions of dollars in transactional value each month across banking, payments, FinTechs and “globally exposed corporations.”

In other financial crime prevention news, PYMNTS wrote recently about the way agentic AI has triggered an evolution in the compliance world, from KYC and know your business (KYB) to “know your agent,” or ensuring that an agent is acting on behalf of a customer or business.

“By extension, there’s another bit of knowing that adds layers of safety and trust: ‘Know your human’ brings those layers together by ensuring that a real person authorized the instruction and that the agent executing it remains within that delegation,” that report said.

Research by PYMNTS Intelligence and Trulioo examines the strain on existing controls, finding that companies lose an average 3.1% of annual revenue because of gaps in digital identity systems leading to fraud, misidentification and compliance failures. That’s the equivalent $94.9 billion in annual losses among respondents.

More than half of surveyed businesses, 56.3%, said they were dealing with threats tied to bots or agents. And nearly 60% were struggling with bot-fueled fraud, and more than 4 in 10 experienced incidents or losses tied to adversarial bots and agents.

“Yet 96.3% said they were confident in their ability to detect harmful bots,” PYMNTS wrote. “That divergence between perception and outcome illustrates the limits of static onboarding checks and other verification processes in an age of increasing automation.”