TransCrypts $15M Seed Round Accelerates Digital Identity Revolution
TransCrypts is a blockchain-based platform reshaping digital identity and credential verification. They just secured $15 million in seed funding led by Pantera Capital. They also had backing from Lightspeed Faction, Mark Cuban, Alpha Edison, and other major investors.
The funding comes amid growing global concern over AI-driven fraud and deepfake manipulation. This becomes key as individuals and enterprises seek new ways to protect sensitive personal data.
Founded in 2020, TransCrypts allows users to verify and share their records securely. The platform connects directly to existing HR and payroll systems to issue cryptographically verified credentials. These credentials can then be shared with employers, landlords, or third-party verifiers without data breaches.
“Trust online is under attack with AI fraud and deepfakes,” said investor Mark Cuban. “TransCrypts puts control back in people’s hands, making verification faster, smarter, and more secure.”
TransCrypts $15M Seed Round Led by Pantera Capital
The $15M raise marks a major milestone for TransCrypts, with explosive growth over two years. The company now serves over 450 enterprise clients and 4 million users. This includes multiple Fortune 500 firms.
Franklin Bi, General Partner at Pantera Capital, said the investment reflects the growing need for secure identity verification.
“TransCrypts addresses one of the most pressing challenges of our time: trust in an era of AI-driven fraud and data manipulation. The platform gives individuals full control of their credentials, ensuring privacy and security at a scale that only blockchain can deliver,” Bi said.
CEO Zain Zaidi added that the company’s mission is to make self-sovereign digital identity the new standard. He says
“Our goal is simple. To give people 100% control of their identity. Whether it’s employment, health, or education records, we’re making verification secure, efficient, and fraud-resistant.”
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Building the Future of Self-Sovereign Identity
TransCrypts’ blockchain technology enables verification that cannot be forged or altered, ensuring authenticity even in an AI-saturated digital world. This capability is increasingly critical as enterprises face surging identity theft and data privacy breaches.
Employers and background check agencies are integrating TransCrypts’ APIs to streamline verification. Yet, users gain full ownership of their data through an approach known as self-sovereign identity (SSI).
Since launching in 2021, TransCrypts has grown 15-fold. The firm’s Fortune 100 client base doubled in 2025, signalling strong enterprise trust in its model. Its success has positioned it as one of the few blockchain startups combining compliance, decentralisation, and real-world usability.
Expanding Beyond Employment Credentials
With the fresh $15 million, TransCrypts plans to broaden its offerings beyond employment verification to include health and educational records. The company recently achieved HIPAA certification, allowing consumers to securely control health data that was once locked within hospital systems.
This expansion places TransCrypts at the intersection of Web3, healthtech, and AI safety — a combination that has drawn investor confidence even in a cautious funding climate.
“TransCrypts’ ability to provide verifiable, user-controlled records for multiple sectors sets it apart from traditional identity providers,” said Ali Zaidi, Co-founder and CTO. “We’re not just improving verification — we’re redefining ownership of personal data.”
A Growing Force in Enterprise Trust
The company’s rapid rise mirrors the growing enterprise demand for privacy-compliant verification tools. With over 4 million global users, TransCrypts now facilitates millions of verifications annually for employers, insurers, and financial institutions.
Enterprise adoption is driven by the increasing need to counter AI-related identity risks. Deepfake employment applications, fabricated credentials, and manipulated income statements have emerged as serious threats to hiring and lending systems.
TransCrypts’ blockchain architecture mitigates risks by making every verification an immutable ledger.
The company plans to double its team in the next year with new expansions. It can extend operations from San Francisco to Toronto, leveraging both cities as co-headquarters.
The Future of Digital Identity
Investors and analysts see TransCrypts as part of a new wave of decentralised identity infrastructure. This underpins the future of AI and Web3 ecosystems. Its success highlights the importance of data authenticity in an age of AI-generated content and digital impersonation.
By allowing individuals to own and control their verified records, TransCrypts bridges the trust gap between digital systems and human identity. As Zaidi put it, “The future of identity must be human-centred, not platform-centred.”
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