Bits Technology Secures €12 Million in Series A Funding to Enhance Compliance Automation
Bits Technology, a Stockholm-based provider of compliance and integration infrastructure for regulated FinTech companies and banks, has successfully raised €12 million in Series A funding. This investment aims to accelerate the automation of financial crime workflows and broaden the coverage of various regulatory and data sources.
Investor Participation and Background
The funding round was spearheaded by Alstin Capital, with contributions from Cherry Ventures, Unusual Ventures, and Alliance Ventures. Additionally, Haval van Drumpt, managing director of Tre Sweden, also joined the investment.
Previous Funding Success
This latest funding round follows Bits’ earlier achievement, where they secured €4 million in 2023, as detailed by EU-Startups.
Bits’ Mission and Vision
According to Jonathan Klintberg, CEO and co-founder of Bits, “Our customers need to evolve, convert, and stay compliant at the same time“. He elaborated that Bits is designed to transform compliance from being a hindrance into a growth engine by unifying workflows for onboarding, fraud detection, and anti-money laundering on a single platform.
Market Trends in Compliance Automation
Analysis indicates sustained investment in European compliance, risk, and financial crime infrastructure from 2025 onwards. For instance, in February 2025, Touch raised €51.5 million to enhance its AI-driven decisioning platform across onboarding, credit, fraud, and compliance workflows for financial entities.
Unique Selling Proposition of Bits Technology
Established in 2022 by former executives from Klarna, AWS, and Tink, Bits Technology provides a robust compliance infrastructure platform. It empowers regulated businesses to onboard customers, evaluates risks, and maintain compliance efficiently across over 100 jurisdictions.
Efficiency and Operational Enhancements
Bits claims it can decrease manual case processing by 50 to 70%, significantly reducing onboarding and approval times from weeks or months to just days or hours. The platform’s integration capabilities focus on allowing human reviews to be directed toward higher-risk clients.
Addressing Fragmentation and Future Plans
As European banks and FinTech firms grapple with rising fraud risks and stringent regulatory scrutiny, they face challenges due to fragmented compliance technologies. Bits aims to unify compliance operations under a single, pan-European platform that covers onboarding, risk assessment, and continuous monitoring. The upcoming funding will bolster product capabilities and expand European data coverage, supporting Bits’ ambition to grow in the DACH region and the UK.