Instarc raises €1.25M to scale its cloud-native compliance platform

Tallinn-based regtech company
Instarc has secured a €1.25 million strategic investment to support the
commercial rollout of its cloud-native compliance platform in South Africa. The
investment was led by HFO Investments, with Athena Capital and Option 3 Capital
advising on the transaction.

Instarc develops compliance
infrastructure for regulated financial institutions and other accountable
institutions. Its platform is initially focused on South Africa, where
financial and other regulated businesses are subject to customer
identification, due diligence and reporting requirements under the Financial
Intelligence Centre Act (FICA).

The company’s cloud-native
platform supports digital customer onboarding, identity and ownership
verification, customer due diligence, compliance checks, document management,
case workflows, regulatory reporting and audit records. It also provides APIs for
integrating these functions with institutions’ existing systems.

Instarc has designed the
technology to integrate compliance processes into an organisation’s existing
operating model rather than operate as a separate standalone system.
Institutions can configure customer journeys and workflows according to their
products, risk requirements and internal controls, allowing processes to be
adjusted as regulatory requirements change.

We founded Instarc on the
belief that compliance should not be a bottleneck. By combining advanced
technology with intelligent data architecture, we created a platform that
enables regulated organisations to onboard customers faster, reach revenue
sooner, reduce operational friction and scale with confidence,

said Jonathan Revell, CEO of
Instarc.

The new investment will be
used to accelerate the commercial rollout of the platform among financial
institutions and other accountable organisations in South Africa. Instarc has
developed the underlying system to be scalable and adaptable to different regulatory
frameworks, providing a basis for potential expansion into other markets.