IDfy raises $53m to scale global RegTech expansion

By Vriti Gothi

IDfy has raised $53 million in a Series F funding round led by Neo Asset Management, underscoring sustained investor interest in regulatory technology as digital transformation accelerates across industries.

The investment was made through Neo’s Secondaries Fund and includes participation from existing backers Blume Ventures, Analog Capital, Elev8 Venture Partners, IndiaMART, and Kae Capital. The round comprises both primary capital to fund growth initiatives and a secondary component providing liquidity to early-stage investors and employees.

Founded in 2011, IDfy operates in the trust and compliance infrastructure segment, offering digital verification and risk management solutions to enterprises. The company said the fresh capital will be deployed across three priorities: targeted acquisitions to strengthen its technology capabilities, expansion of its international footprint, and continued investment in its TrustStack platform for identity verification and compliance management.

IDfy currently serves more than 500 enterprise clients across sectors and processes over 500 million verification checks annually. The company operates in seven countries, including markets in India, Southeast Asia, and the Middle East. Its scale reflects growing demand for digital identity authentication, fraud prevention, and regulatory compliance tools as businesses contend with heightened cybersecurity risks and increasingly complex regulatory frameworks.

The funding round comes amid regulatory tailwinds in India and other emerging markets. Implementation of the Digital Personal Data Protection Act and broader government investments in digital public infrastructure have created new compliance requirements and operational challenges for financial institutions, FinTechs, and digital platforms. As cross-border digital transactions increase, regtech providers are playing a larger role in enabling secure onboarding, customer due diligence, and ongoing monitoring.

With renewed backing from both new and returning investors, IDfy is positioning itself to consolidate its role as a core trust layer in the digital economy, as competition intensifies in the global regulatory technology market.