Israel-based nSure.ai has raised a $6.8 million Seed round led by DisruptiveAI, Phoenix Insurance, Kamet (an AXA backed VC), Moneta Seeds and other individual investors.
nSure.ai is a “predictive AI fraud protection company” that services digital goods such as gift cards, prepaid debit cards, software and game keys, digital wallet transfers, international money transfers, tickets, and more. The company explains that sellers of physical goods have processing times that allow them to double-check charges and can withhold a shipment if needed. Digital sellers lack this buffer, so even if fraud is detected minutes later, the assailant may be untraceable. nSure.ai is bringing anti-fraud technological and chargeback guarantees to the digital goods sector.
“We are thrilled that our investors have placed their trust in our leadership and confidence in nSure.ai,” says Alex Zeltcer, co-founder and CEO. “This investment enables us to register thousands of new merchants, who can feel confident selling higher-risk digital goods, without accepting fraud as a part of business.”
The founders of nSure.ai, Zeltcer and Ziv Isaiah say they experienced first-hand the unique challenges faced by retailers of digital assets. During the first week of operating their online gift card business, 40% of sales were fraudulent, resulting in chargebacks. nSure.ai’s 98% approval rate offers a more accurate fraud-detection strategy, allowing retailers to recapture nearly $100 billion a year in revenue lost by declining legitimate customers, according to Zeltcer.
Gadi Tirosh, Venture Partner at Disruptive AI, says they believe fraud, especially in the field of digital goods, can only be fought with top-of-the-line AI technologies.
“nSure.ai has both the technology and industry understanding to win this market.”
The funding is expected to be used to further develop nSure.ai’s predictive AI and machine learning algorithms. nSure.ai solution currently monitors and manages millions of transactions every month, and has approved close to $1B in volume since going live.