A new regtech has emerged on the Lux startup scene. A Fit4Start pitching startup, Giovanni Patri’s Phoenici combines a holistic approach to identification with a standardized method of protecting people against fraud.
(Featured Image: Giovanni Patri, Founder & CEO of Phoenici / Image Credit © Silicon Luxembourg / Anna Katina)
What’s the problem?
A few years ago, a young man working in Nice, France lost his job, his money, and his reputation in a matter of days. One morning he opened a letter from French authorities announcing he was being sued due to unpaid rent accumulated over a year’s time for an apartment in the north of France.
In a panic, the young man replied that he knew nothing about the apartment. Authorities simply retorted: it was his credit and identity, so he was liable. He saw his assets frozen, money siphoned from his bank account and his name listed as untrustworthy. He lost his job and had no means of resistance.
Fraud stories like this aren’t uncommon. Phoenici aims to prevent them from happening.
Phoenici will create identity profiles for individuals, high-net worth persons and celebrities using full identity profiling verified by Identity Officers. The startup will then partner with banks and insurance firms to perform identity checks any time someone requests a significant transaction under a Phoenici client name.
“You can enjoy a million lives, but you will only ever have one identity.”
What’s the added value?
Identity protection services already exist. Phoenici’s distinguishes itself with (1) full identity profiling and (2) data ownership specifications.
Currently, a few papers and numbers constitute what major institutions call “identity.” Phoenici will take into account physical traits, sex changes, immigration history and other non governmental identifiers.
In addition, contrary to banks and insurance firms, Phoenici’s customers will own their data. Unlike Phoenici’s competitors, who sell customer data to marketing agencies, Giovanni’s customers can rest assured with Phoenici.
So what does this look like for customers?
Customers will pay a modest monthly fee to have one of Phoenici’s ID Officers consistently update their full identity profile. That customer will then alert Phoenici each time s/he wants to make a significant transaction requiring ID proof. If someone initiates a transaction without Phoenici’s approval, the associated institution will retain the criminal while Phoenici calls the police to report the crime.
The elephant in the room…
The central problem with fraud is stolen documents. How, then, does Phoenici protect its customers’ papers? The answer is in unique ID profiling and timing.
With consistently updated profiles, criminals will have a harder time pinning down current information. In addition, since customers personally approve all major transactions, criminals won’t be able to validate a transaction.