Bits, a Stockholm-based provider of compliance and onboarding infrastructure for regulated FinTech companies and banks, has raised €12 million in Series A funding. The round will accelerate product development and European expansion, enabling regulated businesses to enter new markets faster while reducing manual compliance work and maintaining regulatory confidence at scale.
The round was led by Alstin Capital, with participation from Cherry Ventures, Unusual Ventures, and Alliance Ventures. Haval van Drumpt, Chief Executive of Tre Sweden, also invested. The funding will be used to deepen automation across financial crime workflows, expand coverage of additional regulatory and data sources, and scale commercial operations across key markets.
Solving Fragmented Compliance in the Fight Against Financial Crime:
Banks and FinTech companies face escalating fraud and money laundering risks alongside tightening regulatory scrutiny across Europe. At the same time, they are under pressure to deliver fast, fully digital onboarding experiences. Many organizations still rely on fragmented stacks of local data providers, manual reviews, and market-specific compliance setups.
This fragmentation leads to slower onboarding, higher operational costs, and significant friction when expanding into new European jurisdictions, often forcing teams to rebuild compliance operations market by market. By consolidating these processes, Bits customers, including Qliro, Alisa Bank, and Walley are modernizing compliance end to end. As seen with Qliro and Alisa Bank, this can reduce manual case handling by 50-70% and accelerate onboarding and approval times by four to six times. What previously took weeks or months can now be completed in days, or in some cases hours, while human review remains focused on higher-risk customers.
Bits addresses this challenge through a single, pan-European compliance platform that spans onboarding, risk assessment, and continuous monitoring. With one integration, customers gain access to European company registries, beneficial ownership data, PEP and sanctions lists, and fraud signals. These are combined with automated AML and fraud decisioning and unified case management in a single process.
Unlike market-specific vendors or point solutions, Bits replaces entire local compliance stacks with a single platform, enabling regulated companies to scale across borders without bespoke compliance builds.
Built by FinTech and Infrastructure Operators:
Bits was founded in 2022 by former operators from Klarna, AWS, and Tink, who experienced firsthand the operational burden of fragmented and manual compliance processes while scaling regulated financial products across Europe.
Investing in Automation and European Scale:
The new funding will be directed toward expanding product capabilities, increasing automation across fraud and financial crime detection workflows, and adding further European data coverage. Bits also plans to scale its go-to-market organization as it targets continued expansion across DACH and the UK.
Quotes:
Alexander Meyer-Scharenberg, Principal at Alstin Capital, commented: “For regulated entities, compliance is becoming a platform challenge, which cannot be addressed by point-solutions. Bits Technology unifies AML and fraud workflows into one system with consistent decisioning and auditability. The product is exceptional and it shows the team understands compliance operations from the inside. With AMLA and the EU’s move toward a single AML rulebook, expectations are rising and many institutions will need to re-evaluate whether their compliance technology remains fit for purpose and fully compliant.”
Jonatan Klintberg, CEO and co-founder of Bits, said: “Our customers need to scale, convert, and remain compliant at the same time. We built Bits to make compliance a growth enabler rather than a bottleneck. By unifying onboarding, fraud, and AML workflows in a single platform, teams gain the speed, control, and confidence needed to expand across Europe.”
About Bits Technology:
Bits Technology is a modern compliance infrastructure platform enabling regulated companies to onboard customers, assess risk and remain compliant seamlessly across markets. The platform supports KYC and KYB workflows across more than 100 jurisdictions and connects to a broad ecosystem of data sources and eID providers. Bits’ mission is to revolutionize how businesses manage risk and regulatory workflows through automation and modern software, powering the entire compliance lifecycle as a scalable growth engine.
About Alstin Capital:
Alstin Capital is a generalist early-stage venture capital fund based in Munich with a focus on B2B software. Founded in 2012, Alstin invests across Europe in fast-growing late-seed and Series A software companies. Initial tickets typically range from €2 million to €8 million. At the core is its “all-in” approach: beyond capital, Alstin actively supports founding teams through sales coaching (KPIs, go-to-market, and sales development), assistance with social media, PR and marketing, guidance on scaling and expansion strategies, and access to relevant industry contacts such as potential customers and partners.
