IVIX, an Israel-based company that helps governments worldwide combat large-scale financial crime, has raised US$60 million in a series B funding round.

This investment brings IVIX’s total funding to US$85 million since its founding in 2020.

O.G. Venture Partners led the round, with participation from Insight Partners, Citi Ventures, Team8, Disruptive AI, Cardumen Capital, and Cerca.

IVIX will use the new funding mainly for technology development and team expansion.

The company’s platform is used by financial, security, criminal, and civil enforcement authorities in North America, Asia, and Europe to combat tax evasion, money laundering, human trafficking, sanctions enforcement, and terrorist financing, using open data and advanced algorithms.

IVIX employs about 60 people, mostly in Israel, with others in the US, Europe, South America, and Asia.

🔗 Source: Calcalist

🧠 Food for thought

1️⃣ Massive detection gap creates opportunity for specialized government tools

IVIX’s government focus addresses a critical weakness in financial crime prevention, as traditional methods detect only about 2% of global financial crime worldwide1.

This detection gap helps explain why the shadow economy still represents $12.5 trillion globally, equivalent to 11.8% of world GDP as of 20232.

The company’s approach of indexing internet financial data specifically for government authorities is logical given this scale of undetected activity.

While 119 of 131 countries studied showed reductions in their shadow economies between 2000 and 2023, the persistent size demonstrates that governments need more sophisticated detection tools3.

IVIX’s expansion from tax authorities into criminal and security enforcement reflects how governments are recognizing that financial crime crosses traditional departmental boundaries and requires integrated solutions.

2️⃣ AI investment surge in financial services validates IVIX’s timing

IVIX’s $60 million raise aligns with broader AI investment trends in financial services, which is projected to grow from $35 billion in 2023 to $97 billion by 20274.