ShoCard Raises $4M in Funding

Announcements, Blockchain, Innovation, Investing | August 23, 2017 By:

Blockchain-based identity management system ShoCard has raised $4 million in funding, led by Morado Venture Partners and AME Cloud Ventures, two of the company’s existing investors.

The funding round also saw participation from Storm Ventures, Danhua Capital and Correlation Ventures, as well as Recruit Strategic Partners and investor Robert Tinker. The new funding brings the company’s total funding to $5.5 million.

The company said it will use the funds for the rollout of its enterprise solution, ShoBadge. Using blockchain technology, ShoBadge inverts identity management to be controlled by each user and shared with the workplace. All identification information is encrypted and stored on employee mobile devices. After employees choose to share their information with their employer, the blockchain acts as an immutable ledger to verify the information and ultimately grant access to authorized employees.

“Eliminating usernames and passwords at the enterprise level will close the security gap in organizations’ cyber defenses,” said ShoCard founder and CEO Armin Ebrahimi. “Large databases filled with this sensitive information will no longer be necessary, and weak passwords, easily exploited by hackers, will no longer exist. ShoBadge will use the ShoCard verification, enrollment and authentication tools that leverage mobile devices along with the blockchain as the next generation of identity management, offering CIOs and CISOs a consolidated approach and more secure identity management for their enterprise.”

Tae Hea Nahm, managing director at Storm Ventures, said that consolidation in identity management is currently a substantial driver in the enterprise market, and ShoBadge’s proprietary use of blockchain technology enables cross-domain authentication.

“Without usernames and passwords, identity management and security is much more simple and cost-effective,” said Nahm. “The secret SessionID, private user key, private key of organization/application and any additional verification, such as fingerprint scanning or facial recognition, results in four or five factor authentication, which is an unprecedented level of security for enterprises and their users.”