Israeli cyber security firm ThetaRay is considering listing on the stock market following an increase in the valuation of regtech companies.
The company uses artificial intelligence to identify threats such as money laundering or fraud.
Mark Gazit, chief executive of ThetaRay, told Reuters: “We see the market is booming. Valuations are going (through) the roof. I don’t know how sustainable it is, so it is a question of time.”
London, Tel Aviv and Australian exchanges have approached ThetaRay about listing, which is also interested in the Nasdaq, Gazit reportedly said.
The news follows a forecast from Juniper Research that spending on regulation technology globally will surge from $33billion in 2020 to $130bn by 2025, as banks increasingly look to Artificial Intelligence (AI) solutions for onboarding and to meet Know Your Customer (KYC) requirements.
The report, Regtech: Market Opportunities, Challenges & Forecasts 2021-2025, predicts almost 18% of digital onboarding will use AI systems in 2025, compared to under 4% in 2020.
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