ID.me, a digital identity platform relied upon by more than 152 million users, has announced a significant funding milestone with the close of its $340 million Series E round and a recently secured credit facility. The funding, which values the company at over $2 billion, was led by Ribbit Capital and includes participation from existing backers such as Ares Credit funds and Moonshots Capital, alongside new investors including Positive Sum.
This funding marks a pivotal moment for ID.me as it intensifies efforts to expand secure, reusable digital identity infrastructure and tackle the growing threat of AI-driven fraud.
The timing of this investment reflects the urgency with which ID.me is addressing its challenges. Fraud has evolved into a national crisis, both financially and in terms of security. According to the U.S. Government Accountability Office, fraud losses between 2018 and 2022 reached as high as $521 billion annually. Much of this damage has been inflicted by organized criminal networks operating across borders, including groups in Russia, China, and Nigeria. More recently, North Korean actors have targeted U.S. companies using stolen identities, and the rise of AI tools like deepfakes has made it easier for fraudsters to exploit vulnerabilities at scale.
ID.me has emerged as a critical line of defense in this escalating battle. During the pandemic, seven states credited the company with helping prevent more than $270 billion in unemployment fraud. Its technology has proven especially effective in streamlining access to benefits while reducing strain on government systems.
For example, after the Virginia Employment Commission adopted ID.me in 2024, digital claims surged by 173%, while call center volume dropped by 57%. These results show how secure identity verification can simultaneously improve user experience and operational efficiency.
The company's growth over the past year has been nothing short of remarkable. In 2024 alone, ID.me added 20.4 million new digital wallets -- an average of more than 55,000 per day -- and facilitated over 409 million successful logins, representing a 44% increase from the previous year. This surge in usage underscores the growing demand for trusted identity solutions in an increasingly digital world.
ID.me's reach now spans nearly 60 percent of the U.S. adult population, with 76 million users verified to federal IAL2 standards. Its services are integrated across 20 federal agencies and 45 state agencies, and the platform is used by over 70 healthcare organizations, 600 consumer brands, and 500 employers. This broad adoption reflects the platform's versatility and reliability in serving a wide range of sectors, from public services to private enterprise.
The new funding will enable ID.me to accelerate its mission on multiple fronts. The company plans to enhance its technology to stay ahead of increasingly sophisticated fraud tactics, expand access to secure identity verification for underserved populations, and continue building partnerships that support digital transformation across industries.
As AI continues to reshape the economy and introduce new risks, ID.me is positioning itself as a foundational layer for secure, frictionless interactions between individuals, institutions, and digital systems.
KEY QUOTES:
"Fraud is evolving at the speed of AI -- and so are we. Secure identity is foundational to AI ecosystems that will depend on memory, context, and authentication, and ID.me is leading the charge. This funding strengthens our ability to expand secure digital access, protect privacy, and innovate faster to stay ahead of criminal networks."
Blake Hall, Founder and CEO of ID.me
"We believe the AI revolution will reshape the global economy, and identity will be its foundation. As AI agents become ubiquitous, trusted identity tokens will enable secure, seamless interactions between people, organizations, and machines. ID.me has built one of the most advanced and widely adopted digital identity wallets in the world, giving it a durable advantage in creating and scaling the identity tokens that will power this new era. We're excited to partner with Blake and the ID.me team as they expand their leadership in the token-driven AI economy."
Justin Saslaw, General Partner at Ribbit Capital