Two San Jose, Calif.-based companies have partnered to make online fraud prevention more effective for e-commerce merchants. Signifyd, which uses machine learning to identify fraudulent e-commerce transactions, will leverage ThreatMetrix’s network that establishes digital identities for users around the world to enhance the simple accept/decline decision it renders on every transaction. The additional data from ThreatMetrix will enable Signifyd’s system to more accurately predict which transactions merchants should accept and which they should decline. Signifyd is one of a vanguard of companies confident enough in their technology that they back up their decision with a guarantee. If any transaction the company approves ends up being fraudulent, it will reimburse the merchant for the chargeback costs.
“ThreatMetrix provides global shared intelligence on more than a billion digital identities,” said Signifyd’s Vice President of Partnerships, Skye Spear. “The ThreatMetrix Digital Identity Network provides additional insights for Signifyd’s machine learning capabilities enabling us to authenticate orders from customers who may have previously been denied. We’re able to incorporate additional data in real time to identify and mitigate sophisticated fraud scenarios across one or more of our customers emulating multiple buying identities.”
It has been a busy second half of 2016 for Signifyd. In September, the company closed on a $19 million funding round. Read more.