Visa invests in VGS to accelerate fintech innovation while advancing data security
Very Good Security (VGS), a leader in modern data security and custodianship, announced that it has received a strategic investment from Visa to expand access to VGS’ infrastructure-as-a-service for financial technology companies (fintechs) and large enterprises.
Visa joins other notable investors, including Goldman Sachs, Andreessen Horowitz, Vertex Ventures US, and Max Levchin (co-founder of PayPal), in advancing VGS’ mission to provide a better approach to data security, privacy and compliance.
Earlier this year, Visa selected VGS as a launch partner for its Fintech Fast Track program, which supports digital payment innovation by making it simple to collaborate with Visa and launch new fintech products.
VGS safely stores sensitive data, such as account numbers and personal information, on behalf of companies to enhance security and reduce their compliance requirements.
This strategic investment extends the relationship and underscores the importance of a robust, yet nimble data security posture for businesses, especially those operating in regulated environments like payments and fintech.
“As a global leader in payments, we continue to invest in and partner with companies that provide valuable capabilities for our clients and for the network,” said Kevin Jacques, Vice President, Visa Ventures.
“VGS’ ‘Zero Data’ platform is an example of this. Companies can reduce the scope of their data security and compliance requirements by eliminating the sensitive data in their systems, enabling them to develop innovative ways to pay without compromising security or functionality.”
Until now, data security and compliance have been impediments to business agility. VGS’ specialized infrastructure gives companies a competitive advantage, expediting product development, partnerships and vendor diligence by adopting a best-in-class security posture and fast-tracking compliance certifications like PCI, SOC2, CCPA, GDPR and more.
VGS customers can issue credit cards without ever seeing a card number; run background checks without needing to hold Social Security Numbers; and optimize their payments infrastructure to ensure coverage and redundancy. VGS gives companies all the benefits of interacting with sensitive and regulated data without the liability or cost of securing it.
Card issuers like Petal and Mission Lane can operate more smoothly by never having to see personally identifiable information (PII) or payment card numbers, allowing them to focus on providing a seamless and secure experience for customers.
“This investment from Visa further signals a shift around how companies think about protecting sensitive data,” said Mahmoud Abdelkader, CEO and co-founder of VGS.
“We’re excited to continue de-scoping customers’ applications from ever having to handle sensitive data, enabling them to go to market faster and making it easier to partner with large financial institutions.”