Charm Security, a New York-based cybersecurity startup, has emerged from stealth mode with $8 million in seed funding to address the growing threat of AI-powered scams and social engineering fraud. The company was founded in 2024 by cyber intelligence Roy Zur and AI-driven fraud prevention pioneer Avichai Ben. Charm’s platform aims to protect businesses and their customers from increasingly sophisticated scams that exploit human vulnerabilities, particularly in sectors like finance, healthcare, and retail. With the rise of generative AI, scammers have developed more advanced tactics that can bypass traditional fraud prevention systems, and Charm seeks to stop them before they succeed.
Charm’s AI-powered platform works by analyzing customer risk patterns and human vulnerability exposure, allowing it to predict and prevent scams before they occur.
It provides actionable insights and customized mitigation strategies, ensuring businesses can tackle fraud proactively. The platform also offers real-time intervention capabilities to disrupt deception and manipulation as they unfold. Whether through digital channels, voice interactions, or in-person contact, Charm ensures that fraud is intercepted across multiple platforms, safeguarding customers during critical moments of vulnerability.
The startup’s solution is versatile, targeting various industries like financial institutions, credit card issuers, digital platforms, telecom providers, and healthcare companies. It builds detailed customer risk profiles, assesses employee readiness to handle fraud, and offers awareness programs that strengthen defenses against scams. By leveraging advanced AI and psychological insights, Charm offers businesses the tools they need to stay ahead of fraudsters who continuously evolve their methods.
Charm’s mission is to provide real-time protection and disrupt scammers’ operations before they can do harm.
With the new investment, Charm plans to enhance its platform’s capabilities by hiring new talent, expanding partnerships, and accelerating its product development efforts. The company aims to increase market presence and drive broader adoption of its AI-powered fraud prevention technology. Roy Zur, the CEO and co-founder of Charm, emphasized that the evolving tactics of scammers, especially those leveraging AI, pose a significant challenge for traditional fraud systems. Charm’s platform is designed to break the “scam spell” and protect users when they are most vulnerable, offering a powerful defense against a rapidly changing cybercrime landscape.
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