Anti-Fraud Co. Fraugster Raises $5M

January 16, 2017 | Fraugster, a German-Israeli anti-fraud company that has invented an Artificial Intelligence (AI) technology to eliminate payment fraud, has raised $5 million in funding. The international venture capital fund Earlybird is the new lead investor in the company, alongside existing investors Speedinvest, Seedcamp and a large Swiss family office. This latest round of investment will be used to hire new staff to support the international growth of the company, which is used by online merchants and retailers. Fraugster was founded in 2014 by Max Laemmle, who previously co-founded payment gateway company Better Payment, and Chen Zamir, who has spent more than a decade in different analytics and risk management roles including five years at PayPal. The company already handles almost $15 billion in transaction volume for several thousand international merchants and payment service providers, such as Visa.