Finovate Alumni News

On Finovate

  • Wave Brings Business Services to Royal Bank of Canada’s Online Banking Platform
  • Finicity Teams with DataVerify.
  • Ripple Entices Banks with New Accelerator Program.

Around the web

  • Tradeshift joins the Hyperledger Board.
  • DAVO to offer app to Poynt merchants via Poynt’s App Marketplace
  • Ondot, Elan provide two-way fraud alerts for My Mobile Money app.
  • EverSafe wins a spot in Fidelity’s list of “8 financial tips for new widows.”

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alumni News


  • Truphone Raises $339 Million to Fuel Global Expansion.
  • Best of Show Winner Voleo and Nasdaq to Launch Equity Trading Competition.

Around the web

  • New York Life launches student loan repayment program; partners with Student Loan Genius.
  • NCR unveils new mPOS solution, Ring Up, designed for U.S. micro businesses.
  • Investr to offer fractional share trading via partnership with DriveWealth.
  • MarketEarlybird announces availability on cloud-based workflow and collaboration platform, Symphony.
  • Quadient (formerly GMC Software) expands Partner Advantage Program.
  • Top Image Systems eFLOW Remit tops 50 billion transactions.
  • Ondot Systems brings its card control technology to Access Softek mobile banking platform.
  • Pendo launches Pendo Machine Learning Platform (PMLP).
  • ICBA adds CECL Solution from ProfitStars to Preferred Service Provider Program
  • Finastra adds three new CU clients
  • Kony to power next-gen digital platform for NRT and Sightline.
  • Pendo Systems selected by SWIFT as One of 16 Fintechs to Exhibit at SIBOS 2017.
  • 35 Finovate alums named in IDC Financial Insights’ top 100 fintech rankings

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Increasing Use of Card Controls in SMB Market is Reducing “Friendly Fraud”

In 2014 Ondot Systems was a newcomer to Finovate. Now, we have asked them to give us an update on where card controls are in the small-to-medium-sized business market, and where they are set to take the fintech sector, in particular the future of fraud.

The small business credit card market reached 13.9 million accounts in 2015, with an average of 20 transactions per month, accounting for one in every six dollars spent on general purpose cards (roughly $430 billion all together). These payments are fundamental to running the operations of any small and mid-size business (SMB), from purchasing office supplies, paying off utility bills, clearing invoices of various service providers, etc.

An SMB owner opening up a credit card for the business has its benefits like financial rewards perks, and flexibility in spending. If handled correctly, allowing employee use of the owner’s credit cards can simplify the reimbursement process and reduce administrative hassles. However, without proper controls, employee credit cards can encourage bad spending habits, theft, or fraud.

Owner cards are only as good as the communication and trust between owner and employee. Unless the owner keeps close tabs on purchases, there is a risk of “friendly fraud,” which is when an employee takes advantage of their purchasing power for their own benefit. Left unchecked, these fraudulent charges can equate to thousands of dollars lost, the loss of an employee, or even a lawsuit.

A recent study by ACFE found that 60% of small businesses didn’t recover any of their losses from this type of fraud. By giving credit cards to key employees, it implies a high degree of trust, but unfortunately, fraud can and does happen.

According to the Association of Certified Fraud Examiners’ latest study, illegitimate expenses make up around 14 percent of asset misappropriation fraud and cause a median loss of $40,000. If you aren’t monitoring those purchases closely, they may go unnoticed.

Owners typically wear many hats, and managing internal financial fraud should not have to get in the way of running a business. So how can SMB owners take the worry of transactional fraud off of their shoulders? Through proactive card controls, SMB owners can allow the use of SMB payment card by setting where, when and how the card can be used for business purposes.

SMB owners can set limits on purchase amounts, location where the card can be used, types of transactions and even merchant categories. In addition, through a few taps on their smartphone, they can view card activity in real time through push notifications and even turn the card off in case of misuse.

Let’s consider a use case of a small business owner employing truck drivers to distribute food supplies around the town. Truck drivers are given a payment card for fuel and other business purchases to make sure they make it to their destination without any hiccups.

The owner of the business is able to set location controls enabling card use only in the areas of their route, and limit transactions up to certain amount at gas stations only. They can set the parameters to deny the ability to withdraw cash from an ATM or use it for entertainment purposes for example. This avoids unpleasant conversations about card misuse while allowing business owners more time to concentrate on operating their business effectively. Through these controls, receipt management for reimbursement becomes a thing of the past and business expense management is more streamlined.

Another example for of how these card controls can protect SMB owners is in the case of doctors and dentists that have their own practice. Typically these doctors employ two or three people for the office where payment cards are used for everything from office supplies to keeping the lights on. Friendly fraud can often go unnoticed if, along with an office purchase, one were to also shop for some personal items. Such businesses typically do not employ full time accounting personnel to track expenses and run on a small budget where misuse can have an impact on the bottom-line.

Through card controls, SMB owners can take on the task of managing company purchases proactively. With just a few minutes on their smartphone app setting card controls and alerts preferences, they and their businesses can be protected from “friendly fraud.”

Finovate Alumni News


  • Malauzai’s Vantiv Partnership to Leverage OnDot’s CardControl Tool


  • Check out today’s FinDEVr APIntelligence.

Around the web

  • Plaid and Dwolla partner to provide fully-tokenized ACH payment integration.
  • Myanmar’s First Private Bank selects Misys FusionBanking to digitize its banking operations.
  • HSBC Group to deploy client lifecycle management technology from Fenergo.
  • Tungsten Network selects BlueVine to offer U.S. SMB clients access to lines of credit.
  • NAFCU Services announces 2017 Innovation Award Finalists: Q2, Insuritas, Geezeo, Mastercard.

This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Finovate Alums Raise More than $600 Million for Second Quarter in a Row

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In the first quarter of 2014, 23 Finovate alums raised more than $592 million

And as the second quarter draws to a close, it’s clear that a comparable cohort of alums have kept the pace.

Over the course April, May, and June, 28 alums raised significant amounts of capital ranging from Gremln’s $100,000 to the $65 million raised by Lending Club. The quarterly total of $594 million is almost exactly the same as the previous quarter.

And given that some amounts are undisclosed (I’m talking about you, Holvi, RevolutionCredit, and, we’re confident that Finovate alums have notched their second $600 million fund-raising quarter in a row.
How does this compare with the less recent past? Very well, indeed. 
In the second quarter of 2013, 15 alums raised more than $200 million. This was a major improvement on the second quarter from 2012, which featured 14 companies raising more than $120 million. 
Total raised for Q2 2014 = $594 million
April — $217 million raised by 11 companies
May —  $226 million raised by 11 companies
June — $151 million raised by six companies

Note: Funding prior to becoming a Finovate alum not included. Questions? Comments? Email us at or

FinovateSpring 2014: Lights! Camera! Demo Videos!


The demo videos from FinovateSpring 2014 are now available in our Video Archive. Check them out here.

Here’s your chance to relive FinovateSpring 2014 in its new home in what was a very sunny San Jose. Every single video from the two-day event is here, arranged alphabetically from Artivest to Zumigo

You’ll see and hear every presenter, every screen capture, every device display (from mobile payment fobs to smart watches and Google Glass), and every innovation that our 67 presenting companies had to share.
And if you’ll be checking out our presenters for the first time, then sit back and enjoy our unique, demo-only format in action.
This is also a great opportunity to see (or see again) just what it took to win the hearts and minds of our audience of more than 1,200 fintech professionals who voted for Best of Show. As a reminder, our FinovateSpring 2014 Best of Show winners are below. Click on the company logo to see the award-winning demo.
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Best of Show Winners from FinovateSpring 2014

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Our record-breaking audience has spent a hot two days in San Jose watching 68 demos covering the best in fintech.

After watching the 68 demoing companies show off their newest innovations on stage in front of the sold out auditorium, the crowd voted for their 3 favorite demos at the end of each day. The eight companies with the highest number of votes were crowned winners.

Here they are in alphabetical order:

Thumbnail image for EyeVerifyLogo.jpgEyeVerify, for its Eyeprint Verification technology that enables mobile biometric authentication

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Loop, for its smart mobile wallet system accepted at virtually every retail POS terminal without making changes to the existing POS system

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Interactions, for its voice-activated self-service solution for mobile and phone interactions 

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Motif Investing, for its Advisor Platform that streamlines the way advisors build, monitor, and rebalance investment portfolios

Ondot Systems, for its CardControl technology that allows users to remotely control their credit and debit cards via their smartphone


PrivatBank, for topless, contactless smartphone-enabled Android ATM technology


SaveUp, for its Gen Y/Millennial-oriented solution that combines gamification with personal finance


Stockpile, for their “give the gift of stock” solution that helps people invest in the brands they love  

As always, thanks for your continued support. See you next year at FinovateSpring 2015!
All of the demo videos will be available on in two weeks.


Notes on methodology:  
1. Only audience members NOT associated with demoing companies were eligible to vote. Finovate employees did not vote.     
2. Attendees were encouraged to note their favorites during each day. At the end of the last demo, they chose their three favorites.    
3. The exact written instructions given to attendees: “Please rate (the companies) on the basis of demo quality and potential impact of the innovation demoed.”  
4. The eight companies appearing on the highest percentage of submitted ballots were named Best of Show.  
5. Go here for a list of previous Best of Show winners. 

Ondot Systems Launches Mobile Prepaid Card Services


This post is part of our live coverage of FinovateSpring 2014.

Then, Ondot Systems launched its Mobile Card Services:
“Ondot empowers cardholders to remotely control their existing credit and debit cards from a smartphone app. Cardholders can lock or unlock their cards, set usage controls by location, merchants, transaction types, and spend limits, and receive and respond instantly to alerts and offers. Ondot’s customers have reduced fraud costs by 60%, increased card revenue by 50%, and gained market share in high-growth consumer segments.”
Presenting: Vaduvur Bharghavan (CEO)
Product Launch: April 2014
Product distribution strategy: Through financial institutions, through other fintech companies and platforms
HQ: San Jose, CA
Founded: March 2011
Twitter: @ondotsystems

Finovate Alumni News– April 25, 2014

  • Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Thumbnail image for Finovate-F-Logo.jpgYodlee deepens ties to developer community, announces partnerships with Startupbootcamp, 25fifteen, and Entrepreneurial Spark.
  • features OnDot Systems’ “remote control credit card” technology. See them demo at FinovateSpring in San Jose.
  • New Jersey Natural Gas customers can now pay via Check mobile app.
  • Pymnts interviews The Currency Cloud CEO Michael Lavin.
  • InComm and Marketing Werks launch AFINITI Marketing Platform.
This post will be updated throughout the day as news and developments emerge. You can also follow all the alumni news headlines on the Finovate Twitter account.

Ondot Systems Raises $18 Million Ahead of FinovateSpring Debut


With less than a week to go before FinovateSpring, it’s pretty hard to hide our excitement for Ondot Systems. The Finovate newcomer will be arriving at the show $18 million in funding richer courtesy of an investment from a set of undisclosed contributors.

Ondot Systems’ technology is called CardControl. CardControl allows consumers to have instantaneous control over their credit, debit and other payment cards via their smartphones.

The applications for the technology are clear: from parents setting limits on a son or daughter’s credit card, to an individual being able to quickly “freeze” a lost or stolen card. The range of control options includes the ability to turn cards on or off, to provide location-based parameters on where the cards can be used, as well as to limit purchases by type and/or amount.
Said the company in a statement: ” We think giving consumers tools to control, monitor, and manage card usage is a cost-effective way to protect cardholders and enhance the value of existing debit, credit, and prepaid cards.”
Ondot has been in stealth for years, developing the sophisticated technology to enable this card-controling smartphone functionality. Now in the public eye, we learn that the company has partnerships with four of the top payment processors, and that its technology reaches 10,000 banks and credit unions around the U.S.
To this last point, Ondot is already claiming significant success in helping FIs reduce fraud costs. They cite Long Star National Bank as one client that has seen declines in fraud losses of 40%. Bank COO David Penoli added that card usage has also increased, which he called “the most cost-effective way to increase debit card margins.”
Founded in 2011, Ondot Systems will demo CardControl at FinovateS[pring in San Jose next week. There’s still time to get your tickets, so visit our registration page today to save your spot.