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ID.me Valued at $1.8 Billion Following Tender Offer | PYMNTS.com

Nov 25, 2024 - pymnts.com
Identity verification company ID.me has been valued at $1.8 billion following a tender offer led by Ribbit Capital, with participation from existing investors Viking Global Investors and CapitalG. This is a significant increase from its valuation of $1.73 billion two years ago. The rise in valuation comes as identity verification services become increasingly important due to the growing threat of identity theft.

The article also discusses the potential of digital wallets as a source of identity verification, with research showing that 79% of U.S. consumers needed to verify their identity last year, primarily for banking transactions. It is anticipated that 41% will use their wallets for this purpose in the coming years, presenting an opportunity for wallet platforms to integrate ID verification with services like government and alcohol purchases.

Key takeaways:

  • ID.me has been valued at $1.8 billion following a tender offer, up from $1.73 billion two years ago.
  • The transaction was led by new investor Ribbit Capital, with existing investors Viking Global Investors and CapitalG participating.
  • Identity verification services have grown in importance due to the rising threat of identity theft, with cybercriminals able to steal identities with just a few pieces of personal information.
  • Research by PYMNTS Intelligence has shown that 79% of U.S. consumers needed to verify their identity last year, primarily for banking transactions, and 41% anticipate using their wallets for this purpose in the next few years.
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