anonybit

Background

Anonybit, established in 2020, is a pioneering company in decentralized biometric technologies. The company is dedicated to enhancing digital security and privacy by eliminating centralized data storage vulnerabilities. Anonybit's mission is to provide privacy-by-design identity management solutions that prevent data breaches and account takeover fraud. Its flagship product, the Anonybit Genie, unifies the identity lifecycle by connecting digital onboarding to authentication and account recovery through decentralized biometrics, thereby preventing synthetic identity fraud and account takeovers across various enterprise use cases.

Key Strategic Focus

Anonybit's strategic focus centers on delivering decentralized biometric authentication and data protection solutions. The company specializes in:

• Decentralized Biometric Cloud: A platform that supports third-party algorithms for decentralized 1:1 verification and 1:N identification across multiple biometric modalities, including face, voice, fingerprint, and iris recognition.

• Anonybit Genie: An integrated identity management platform that connects the entire user lifecycle, from digital onboarding to authentication and account recovery, using decentralized biometrics to close security gaps exploited by attackers.

• Digital Asset Vault: A secure storage solution for private keys, backup passphrases, crypto assets, and more, utilizing biometric authentication to ensure only authorized users have access.

Anonybit targets sectors such as financial services, fintech, retail, and government agencies, addressing the growing need for robust data protection and enhanced digital security.

Financials and Funding

Anonybit has successfully secured a total of $8 million in funding to date:

• January 2022: Closed a $3.5 million funding round led by Switch Ventures, with participation from NextGen Venture Partners, Industry Ventures, Preceptor Capital, and strategic angel investors. This funding aimed to accelerate work with embedded partners and enterprises to enhance data protection and digital security.

• October 2023: Raised an additional $3 million in a seed extension round led by JAM FINTOP, with participation from Connecticut Innovations and 4S Bay Partners. This investment was intended to advance Anonybit's privacy-by-design identity management platform and accelerate growth.

Technological Platform and Innovation

Anonybit's technological innovation lies in its decentralized approach to biometric data storage and processing:

• Decentralized Biometric Cloud: Utilizes multi-party computation and zero-knowledge proofs to securely store and manage biometric data. The system shards standard biometric data into anonymized bits distributed across a multi-party cloud environment, ensuring that sensitive data is never stored or retrieved in a centralized manner.

• Support for Multiple Biometric Modalities: The platform supports various biometric modalities, including face, voice, fingerprint, and iris recognition, providing flexibility and scalability for enterprise deployments.

• Integration with Third-Party Algorithms: Anonybit's open architecture allows enterprises to integrate best-in-class algorithms, tailoring biometric deployments to specific use cases without compromising privacy or security.

Leadership Team

• Frances Zelazny, Co-Founder & CEO: A recognized digital identity expert with nearly 25 years of experience in biometrics, fraud prevention, and payments. Zelazny has been instrumental in driving Anonybit's vision and strategic direction.

• Yaron Azizi, Co-Founder & Chief Architect: An alumnus of the Israel Defense Force's 8200 unit and the initial architect of the BioCatch and Tapingo platforms. Azizi brings extensive experience in cybersecurity and biometric system design.

• Limor Elbaz, Chief Revenue Officer: Joined Anonybit in October 2023, bringing significant experience in cryptography, cybersecurity, and startup growth, with previous leadership roles at Imperva and Peerlyst.

Leadership Changes

In October 2023, Anonybit appointed Limor Elbaz as Chief Revenue Officer, signaling a strategic focus on accelerating growth and expanding market reach.

Competitor Profile

Market Insights and Dynamics

The global biometric authentication market is experiencing significant growth, driven by increasing concerns over data breaches and identity theft. Enterprises are seeking robust solutions to enhance security and comply with stringent data protection regulations.

Competitor Analysis

Key competitors in the decentralized biometric authentication space include:

• Inpher: Specializes in privacy-preserving machine learning and data analytics, offering solutions that enable secure data collaboration without exposing sensitive information.

• StrongSalt: Provides encrypted search and secure data sharing solutions, focusing on enhancing data privacy and security for enterprises.

• Enveil: Offers a privacy-enhancing computation platform that allows organizations to perform secure data processing without revealing the underlying data.

• Enigma: Develops privacy-focused data management solutions, enabling secure computation and data sharing across organizations.

• DUST Identity: Focuses on securing physical objects with unclonable security tags, integrating physical and digital security measures.

• NuCypher: Provides cryptographic infrastructure for privacy-preserving applications, enabling secure data sharing and computation.

Strategic Collaborations and Partnerships

Anonybit has established several strategic partnerships to enhance its offerings and expand market reach:

• Ping Identity: In January 2023, Anonybit partnered with Ping Identity to enable frictionless decentralized passwordless authentication, integrating Anonybit's privacy-by-design framework with Ping Identity's enterprise solutions.

• NayaOne: In January 2025, Anonybit joined NayaOne's Tech Marketplace, allowing financial institutions to test its decentralized biometric identity platform in a sandbox environment, accelerating fintech innovation.

• Fingerprint Cards AB (Fingerprints): In December 2024, Anonybit partnered with Fingerprints to develop a multimodal biometric authentication solution for enterprise customers, combining fingerprint and iris biometric algorithms with Anonybit's decentralized biometric cloud platform.

Operational Insights

Anonybit's decentralized approach to biometric data storage and processing provides distinct competitive advantages:

• Enhanced Security: By eliminating centralized data repositories, Anonybit reduces the risk of data breaches and insider threats.

• Privacy Compliance: The platform's privacy-by-design architecture ensures compliance with stringent data protection regulations.

• Scalability and Flexibility: Support for multiple biometric modalities and integration with third-party algorithms allows enterprises to tailor deployments to specific needs.

Strategic Opportunities and Future Directions

Anonybit is poised to capitalize on the growing demand for secure and privacy-enhancing biometric authentication solutions. Future strategic directions include:

• Expansion into New Markets: Targeting additional sectors such as healthcare, telecommunications, and government agencies to broaden the customer base.

• Product Enhancements: Continuously improving the Anonybit Genie platform to support emerging biometric modalities and enhance user experience.

• Strengthening Partnerships: Building on existing collaborations and establishing new partnerships to drive innovation and market penetration.

Contact Information

• Website: anonybit.io

• LinkedIn: Anonybit

• Twitter: @Anonybit1