Digital identity verification startup Ver.ID, officially known as Subst.id B.V., said today it has closed on a small, €2 million ($2.05 million) funding round.

The money, which comes exclusively from angel investors, will enable the startup to help European companies adhere to new technical standards for cross-border digital identity wallets implemented by the European Union last year, EU-Startups reported.

Ver.ID is the creator of what it says is “advanced digital identity verification technology”, and says its product has applications in areas such as cross-border payments, global commerce and liquidity management. Significantly, its platform supports the EU’s new Electronic Identification, Authentication and Trust Services 2.0 framework, which came into law last year and sets new standards for digital identification services in EU member states.

The Amsterdam-based startup says the money from today’s round will fuel its ongoing product development efforts and expand its employee base. It reckons it is seeing increased demand from European firms for digital identity verification tools, driven by the need to adhere to new security and regulatory compliance standards in multiple industries. It cites a study that estimates revenue from the global market for biometric digital identity tools could grow to $72 billion by 2028.

According to Ver.ID, its platform provides the necessary tools for applications to ensure compliance with eIDAS 2.0 while minimizing the risks associated with fraud and data breaches and simplifying user experiences. It supports multiple payment methods and can integrate with various digital ID wallets and other verification methods.

The startup says its software is currently being used with the Netherlands’ Chamber of Commerce in a pilot scheme that aims to unlock authorization data for executives through ID wallets.

Ver.ID co-founder and Chief Executive Robert van Altena (pictured, center, alongside co-founders Sten Reijers and Roger Olivieira) said the company’s software helps to prevent fraud and data breaches by only dealing with the data needed to verify customers, ensuring sensitive financial details remain private. “This ensures privacy while making onboarding and verification processes faster, safer and more user-friendly,” he said.

Today’s funding will keep the company going for a while, but it’s also working to raise an additional €4 million via a seed funding round to accelerate its growth across European markets, it said.

Photo: Ver.ID