Virtual payment card startup Privacy.com raises $10.2M
Virtual card payment startup Privacy.com has raised $10.2 million in a Series A fundraise, the company announced Wednesday.
The round was led by Teamworthy Ventures, with participation from Tusk Venture Partners, Index Ventures, Quiet Capital, Exor Seeds and Rainfall Ventures.
The startup, if you’re unfamiliar, lets anyone generate virtual and disposable payment card numbers for free, allowing those users to keep their actual credit card number safe while allowing the option to cut off companies from your bank account. In an age of near-constant data breaches and credit card skimmers targeting unsuspecting websites, Privacy.com makes it harder for hackers to get your real credit card details.
It’s a popular idea. In the past three years, Privacy.com has issued 5 million virtual card numbers.
Privacy.com’s chief executive Bo Jiang told TechCrunch that the new funds will help the company launch its new Card Issuing API — in beta testing for the past year — allowing corporate customers to issue virtual cards and manage expenses for their employees in their own back-end systems.
“We’re the first company that allows developers to see upfront, transparent revenue sharing and sign up and create cards programmatically the same day,” he said.
Privacy.com will primarily serve early-stage enterprise companies, which “traditionally need a lighter weight solution for their online payments,” said Jiang. “It’s an underserved market, because most incumbents focus on the larger enterprise with monthly minimums and long time frames.”
Jiang also said the round will help the company “hire and ramp up product development at a much faster pace” as part of its push to serve more enterprise customers.