Flagright Secures $4.3M to Expand AI-Native AML Platform and Global Footprint

As financial crime grows increasingly sophisticated—with deepfake scams and AI-powered fraud on the rise—compliance teams face mounting pressure to match that pace of innovation. One startup, Flagright, is doing just that by building a full-stack AML compliance platform powered natively by artificial intelligence.

Co-founded in 2022 by Baran Ozkan and Madhu Nadig, Flagright has raised $4.3 million in seed funding to expand its AI agent capabilities and support international growth. The round was led by Frontline Ventures, with backing from prominent angel investors, including former executives from Zalando, Revolut, GoCardless, and others.

AI is now implicated in a significant portion of financial scams. A high-profile incident in Hong Kong saw an employee wire $25 million to fraudsters following a convincing deepfake video call. Reports suggest fintech-related deepfake incidents surged by 700% in 2023. Against this backdrop, Flagright has positioned itself as a counterweight to such threats by embedding AI at the heart of its compliance tools.

“We were really early-stage when the boom in AI came into effect, meaning we could implement AI-native solutions from the very start,” said co-founder Baran Ozkan. “It is true that bad actors in financial crime are finding new ways of using AI all the time, which is what makes the work Flagright is doing so important.”

Initially focused on real-time transaction monitoring, the company has since evolved into a full-featured AML operating system. Today, Flagright serves over 50 clients across six continents, offering tools like dynamic risk scoring, automated case management, and AML screening, all built on a high-availability infrastructure with real-time processing.

Client feedback suggests measurable operational gains. Tom Jennings, CEO of B4B Payments, noted: “By integrating Flagright’s AI-native compliance platform, we have enhanced our fraud detection and AML monitoring capabilities. This allows us to proactively identify and mitigate risks, ensuring a safe and secure environment for our customers while upholding the highest standards of compliance.”

The funding will also support the expansion of Flagright’s AI Forensics tools, which the company claims have already reduced false positives by up to 93% and cut operational costs by 80%. These tools are being developed into a broader product family targeting key areas such as governance, screening, monitoring, and quality assurance.

In parallel, Flagright is ramping up its global presence. The company is expanding operations in New York and San Francisco and has recently opened an EMEA headquarters in London to complement its teams in Berlin, Singapore, and Bangalore. These moves are designed to support customers around the clock and build stronger relationships with financial institutions across regions.

Will Prendergast, Partner at Frontline Ventures, explained the rationale for their continued backing: “During our research with financial institutions before Frontline’s initial investment in Flagright, we kept hearing how Flagright had outperformed other companies—we believe they will be the compliance platform category winner, making them a perfect fit for Frontline.”

As financial institutions prepare for an AI-driven future, Flagright’s latest funding and roadmap underscore a growing trend: compliance isn’t just keeping up with fraudsters—it’s using the same tools to get ahead.

FinCEN Trims CTA with Interim Rule

On March 21, 2025, the Financial Crimes Enforcement Network (FinCEN) issued an interim final rule that significantly alters the reporting requirements under the Corporate Transparency Act (CTA). This rule exempts U.S.-based entities, previously classified as “domestic reporting companies,” from the obligation to report beneficial ownership information (BOI) to FinCEN. Consequently, these domestic entities are no longer required to submit, update, or correct BOI reports. The focus now shifts to “foreign reporting companies,” defined as entities formed under foreign laws but registered to do business in the United States. These foreign entities are still required to report BOI, but the rule extends their filing deadline by 30 days from the rule’s publication date— to April 20, providing additional time for compliance. Notably, foreign reporting companies are exempted from reporting BOI of any U.S. persons who are beneficial owners, and U.S. persons are not required to provide such information to these foreign entities.

This interim rule comes after a period of legal uncertainty surrounding the CTA’s implementation. Previously, court orders had halted BOI reporting requirements between December 3, 2024, and February 18, 2025. With the issuance of this rule, FinCEN has clarified the current obligations, emphasizing that domestic entities are exempt from reporting, while foreign entities must comply within the specified timeframe. FinCEN is accepting public comments on this interim rule and intends to issue a final rule later this year. Entities affected by these changes should review the interim rule in detail and consider submitting comments to FinCEN during the open period.

Private Market Data Giant Dun & Bradstreet’s Acquisition Agreed for $7.7bn

Venerable private markets data and analytics giant Dun & Bradstreet has agreed to be acquired in a US$7.7 billion deal that will be partly funded by a debt and equity.

Californian investment private-equity firm Clearlake Capital’s acquisition will take the 184-year old Wall Street company private four years after beginning its second spell as a listed firm.

Dun & Bradstreet is among the largest providers of data and analytics covering private equity and private credit and is also relied upon by investor for its DUNS Number identifiers, paid-for unique identity codes that are used by millions of companies around the world.

The deal comes as the company’s stock languishes 60 per cent below its 2020 listing price, according to Reuters data. Nevertheless, Dun and Bradstreet has found new business as investment in private markets by institutional investors grows. Among its most recent developments, the company has collaborated with LSEG to help the London Stock Exchange operator better compete in the privates data market.

“Dun and Bradstreet has built a trusted, globally recognised brand and has amassed a preeminent set of data and analytics that empower organisations of all sizes,” Clearlake co-founder and managing partner Behdad Eghbali and partner James Pade said in a statement.

“As companies become more data-centric in their decisioning in this fast-paced world, we see vast potential for Dun and Bradstreet to deliver AI-powered solutions to their global client base.”

The deal is “go-shop” arrangement, which permits Dun & Bradstreet to seek better deals from alternative buyers within 30 days of the transaction’s agreement.

According to Bloomberg News, Clearlake sought a $5.75bn bridging loan to fund the acquisition. That’s expected to be converted into longer-term financing via the bonds or leveraged loans markets.

S&P Capital IQ Pro Integrates Visible Alpha Data to Enhance Financial Insights and Forecasting

S&P Global Market Intelligence has announced a significant update to its S&P Capital IQ Pro platform, now integrating Visible Alpha’s historical financials and consensus estimates as an add-on feature. The integration provides access to detailed financial data from over 7,300 companies and more than 1 million line items contributed by over 200 analysts. Users can explore in-depth KPI, income statement, segment, balance sheet and cash flow data across 170+ industries, supported by enhanced search and peer analysis capabilities.

Additional platform enhancements include the introduction of private company headcount data for over 4.3 million firms, expanded valuation data for private M&A deals and funding rounds, and broader content sets within Document Intelligence for deeper analytical insights.

Acquired by S&P Global in May 2024, Visible Alpha’s proprietary analyst-derived content is now fully embedded within the S&P ecosystem, following prior integrations with S&P Global Marketplace and cloud delivery channels.

TNS Launches Services in Zurich’s Equinix ZH4 to Expand European Exchange Connectivity

Transaction Network Services (TNS) has extended its European presence by launching services in the Equinix ZH4 colocation data centre in Zurich, providing managed hosting and ultra-low latency Layer 1 connectivity to the SIX Swiss Exchange, and supporting access to Swiss equities and derivatives markets for both market data and order entry.

Located on Josefstrasse in central Zurich, Equinix ZH4 offers strategic proximity to the banking district, enhancing connectivity for TNS’ clients, including market data vendors and exchange members. This deployment complements TNS’ existing services across major European hubs such as London and Frankfurt.

As part of its broader European expansion, TNS also provides colocation services within other key data centres, including those of BME, CBOE Europe, Deutsche Boerse, Euronext, LME, Nasdaq Nordic and LSE. TNS delivers these services as a registered data vendor and application service provider with SIX, offering a cost-effective alternative to in-house infrastructure management.

LDA Technologies Unveils VeloCT Cabling Ecosystem, Slashing Layer 1 Latency by up to 10x

LDA Technologies has launched VeloCT, a new plug-and-play cabling ecosystem that delivers a tenfold reduction in trade data distribution latency, achieving one-way latency of just 0.5 nanoseconds—down from the typical 4-5ns with standard Layer 1 devices. This breakthrough enables firms in latency-sensitive environments to replace Layer 1 switches while maintaining data duplication and monitoring capabilities.

VeloCT combines ultra-low latency fan-out modules, twinax copper cables, and modular transceivers to offer a flexible, cost-effective alternative to conventional networking setups. The chassis supports up to 22 modules and includes compact 1-to-4 and 1-to-8 link splitters, specialised cables that reduce latency by 0.6ns per metre, and support for SFP, QSFP, and QSFP-DD interfaces. The system also removes the need for separate tap devices by duplicating outgoing data streams, allowing precise packet analysis with minimal infrastructure.

Vanquis Banking Group Enhances AML Oversight with FinScan

Vanquis Banking Group has selected FinScan to optimize its anti-money laundering (AML) processes, reinforcing its financial crime risk management framework. The decision reflects a broader industry shift toward technology-driven compliance strategies that improve operational efficiency and regulatory adherence.

As a specialist UK bank, Vanquis faces increasing scrutiny over financial crime prevention, making the integration of advanced screening technology a strategic move. FinScan’s centralized platform enables real-time and retrospective name screening, enhancing customer due diligence and risk assessment. Its configurable matching technology supports more precise identification of potential risks, ensuring a more responsive compliance function.

Paul Blackmore, Head of Financial Crime at Vanquis Banking Group, emphasized the role of technology in meeting compliance and business objectives: “At Vanquis, compliance and operational efficiency are core to our commitment to responsible lending. Partnering with FinScan allows us to harness advanced technology that aligns with our business goals. Its scalability, configurability, and centralized capabilities make it the ideal solution to optimize our AML processes and support our growth.”

The partnership comes amid growing regulatory expectations for financial institutions to enhance their AML capabilities. FinScan’s ability to integrate diverse data sources and provide a risk-based approach positions it as a valuable tool for banks seeking greater transparency and efficiency in their compliance operations.

Steve Maul, Chief Revenue Officer of Innovative Systems, Inc., noted the tailored nature of FinScan’s capabilities: “Unlike off-the-shelf solutions, FinScan offers tailored AML compliance capabilities designed to meet the bank’s specific needs, including simplifying simulation matching for KYC onboarding and monitoring.”

This collaboration underscores the importance of adaptable compliance technology in today’s financial landscape, where regulatory requirements continue to evolve, and banks must balance risk management with operational efficiency.

STP LaunchAdvisor Combines Fund Admin and Compliance for New and Emerging Funds

STP Investment Services has released STP LaunchAdvisor, a bundled service aimed at helping emerging hedge fund and private equity managers navigate operational and regulatory complexities. The solution integrates fund administration and compliance into a single offering, reducing the need for multiple service providers and streamlining essential processes.

STP LaunchAdvisor is designed to create efficiencies by leveraging client and portfolio data across fund administration and compliance functions. For example, regulatory filings prepared by STP’s ComplianceAdvisor team utilize the same data used in fund administration, reducing duplication and improving accuracy. The service also includes access to STP’s BluePrint platform, which centralizes investment operations, reporting, and analytics.

In addition to operational support, STP LaunchAdvisor provides hands-on guidance for new managers, helping them understand service requirements, provider coordination, and long-term business setup. The offering connects managers with a network of preferred providers, including audit, tax, prime brokerage, and legal firms, to facilitate essential services at competitive rates.

“With market conditions in 2025 expected to drive increased fund launch activity, new managers need cost-effective, comprehensive solutions to support their operational and regulatory needs,” said David Goldstein, Director of Fund Administration Product at STP Investment Services. “STP LaunchAdvisor is designed to remove complexity, reduce costs and time to market, ensure compliance, and streamline regulatory filings. We provide hands-on expertise, ensuring that managers have the tools and guidance they need from day one.”

STP emphasizes the importance of early-stage support, particularly for managers entering the market for the first time. “STP LaunchAdvisor is more than just a service – STP’s service team builds true partnerships with new managers who need more support in the early stages,” said Emmy Bernard, Chief Revenue Officer at STP Investment Services. “Our solution not only supports new managers but ensures they can adapt and thrive in an ever-changing market, with technology, compliance, and operational efficiency built in to keep them ahead of the curve.”

By integrating fund administration and compliance functions, STP aims to provide emerging managers with the infrastructure needed to scale efficiently while maintaining regulatory oversight. The approach aligns with broader industry trends favoring streamlined operations and cost efficiency in fund management.

DTCC’s NSCC to Extend Clearing Hours to Support Overnight Trading by 2026

The Depository Trust & Clearing Corporation (DTCC) has announced that its subsidiary, the National Securities Clearing Corporation (NSCC), will extend clearing hours to support overnight trading, with implementation targeted for Q2 2026, pending regulatory approval. The expansion aims to enhance liquidity and reduce counterparty risk by applying NSCC’s central counterparty guarantee to global overnight activity.

This initiative builds on NSCC’s September 2024 phase 1 implementation, which allowed trade submissions starting at 1:30 AM ET, 2.5 hours earlier than before. Under phase 2, NSCC will operate 24×5, from Sunday 8:00 PM ET to Friday 8:00 PM ET, accommodating Alternative Trading Systems (ATS) and exchanges. NSCC is collaborating with SIFMA, regulators, and market participants to align extended trading hours across ATS and exchange providers while addressing post-trade process adjustments.

Nasdaq Expands Technology Partnership with nuam to Enhance Latin American Post-Trade Processing

Nasdaq and the merged entity of the Santiago, Lima, and Colombia stock exchanges, have extended their strategic technology partnership to enable all three exchanges’ central securities depositories (CSDs) to adopt Nasdaq’s CSD platform to streamline post-trade processing, enhance market access, and reduce operational barriers in the region.

This initiative builds on Nasdaq’s existing collaboration with nuam, which is already consolidating its trading infrastructure on Nasdaq’s platform. It also leverages Nasdaq’s long-standing relationship with Chile’s CSD, Depósito Central de Valores (DCV). The unified post-trade solution will align with international standards, improving liquidity and efficiency across the three markets. A recent Nasdaq survey highlighted investor interest in Latin America but pointed to structural challenges. The adoption of Nasdaq’s CSD technology aims to address these concerns by increasing automation, reducing fragmentation, and attracting global investment to the region.