San Francisco-based startup Baselayer has secured $35 million in a Series A funding round led by M13. The round included participation from Picus Capital, Torch Capital, Afore Capital, and Matt Thompson of Socure. This investment brings the company's total funding to approximately $40 million since its founding in February 2023.
The company provides identity verification and fraud risk assessment for financial institutions. Its platform, which focuses on Know Your Business (KYB) processes, is currently used by over 2,000 financial institutions, representing more than 20% of such entities in the U.S. Baselayer claims to have helped clients prevent over $1 billion in fraud losses.
Baselayer is launching its Agentic Identity Suite to address the challenge of verifying AI agents. The new KYA (Know Your Agent) system aims to confirm who deployed an agent, who it represents, and whether it has authorization to perform specific tasks. This involves issuing credentials that agents can present during transactions.
The startup is collaborating with payment processors, merchants, and developers, including FIS, Prove, and Socure, to establish these credentials. While the company has reached eight-figure revenue in under two years, it notes that establishing partnerships with financial institutions and merchants typically requires 12 to 24 months.
