Flagright
YC W22San Francisco, US · Founded 2021 · 31 employees · Hiring · 11 known investors
Flagright provides transaction monitoring software for financial institutions to detect and manage suspicious activity. The platform serves banks and financial institutions across multiple countries.
Also known as Flagright
Founders & leadership· Y Combinator alumni (W22)
Flagright was founded in 2021 by Baran Özkan, Madhu G. Nadig, and Madhu G Nadig.
Investors · 11
Also in the syndicate · 7
Funding
SEC filings, press & company announcements$25M disclosed across 2 of 4 rounds · 2025–2026
- $12.5MSeries AJul 2026 · 3 sources
Infinity Ventures (lead), Frontline Ventures, Sella Direct Ventures, Y Combinator
Source ↗ - Undisclosed amountSeries AJun 2026 · 2 sourcesSource ↗
- $12.5MraisedJun 2026 · 2 sourcesSource ↗
- Undisclosed amountseedApr 2025
Frontline Ventures (lead), Ahmed Badr, André Silva, Moonfire Ventures, Phillip Chambers, Pioneer Fund, Rubin Ritter, Saqib Mirza, Teng Sherng Lim, Y Combinator
Source ↗
Source: company announcements and press reports — follow each round's link for the claim.
Company profile
researched Aug 2026Flagright provides a financial crime compliance platform for regulated financial institutions, positioning itself as an "AI operating system" for anti-money-laundering (AML) and fraud operations. The product suite unifies real-time and post-event transaction monitoring, dynamic customer risk scoring, watchlist and sanctions screening, case management, regulatory filing (including SAR filing to FinCEN and goAML in 70+ countries), a no-code rule engine with rule simulation and shadow rules, workflow building, quality assurance, network analysis ("Ontology"), and AI agents branded AI Forensics and AI Co-Pilot. The platform can be adopted end-to-end or as individual modules.
Core capabilities described by the company include sub-second API response times, data processing under 700 milliseconds, 99.99% uptime, a centralized data lake that feeds AI agents, and human-in-the-loop controls with auditable decision logging designed for regulatory examination. Customers are reported to build rules in about three minutes on average, and the company cites up to 93% false positive reduction, 81% operational cost savings and 50% shorter investigation times.
Flagright serves banks and financial institutions, payment processors, digital banks and neobanks, credit unions, brokerages and trusts, crypto and Web3 firms, and remittance providers, spanning enterprise, mid-market and SMB segments.
Founding story
Co-founders Baran Ozkan (CEO) and Madhu G. Nadig (CTO) built Flagright as the platform they wished existed after Ozkan's extended search for a transaction monitoring vendor that met his requirements failed. Company materials state the business was founded in 2022 and started in Berlin.
Business model
Flagright licenses its compliance platform as software to financial institutions, offered either as a unified platform or as modular components, with deployments the company says can be completed in as little as two weeks. A Flagright Startup Program offers eligible fintech startups free access in year one, a 50% discount in year two and standard pricing in year three.
Software sold to regulated financial institutions, with tiered pricing that includes a discounted multi-year entry path for startups.
Traction
As of the April 2025 seed announcement, Flagright reported more than 50 customers across six continents and a team of 35. By the June 2026 Series A, the company reported more than 100 financial institutions as customers across 30+ countries, with other company materials citing financial institutions in 35+ countries. Publicly named customers and partners include Payhawk, BTSE, Verto, Aspire, Catalyst, Reap, Tipalti, UniCredit in Poland, SME Bank, Betterment, HitPay and Pesawise.
Latest developments
In June 2026 Flagright announced a $12.5M Series A led by Infinity Ventures with participation from Sella Direct Ventures and existing investors Frontline and Y Combinator, earmarked for expanding AI capabilities and US market presence. The company also announced Nacha Preferred Partner status for ACH fraud monitoring and compliance, and a series of customer wins in mid-2026 including Payhawk, BTSE, Verto, Tipalti and UniCredit in Poland.
▸Full profile — market position, technology, go-to-market, geography, history
Market position
Flagright positions itself as an alternative to legacy AML systems and fragmented point solutions, competing on unification, explainable AI and configurability. It has been named to the RegTech100 for 2026 for a third consecutive year and ranked as the top RegTech on the Sifted 250 list of Europe's fastest-growing startups for 2025.
Company materials emphasize a unified platform rather than a stack of point tools, explainable and auditable AI agents with human oversight, no-code rule configuration with simulation and shadow testing, rapid deployment, and multi-jurisdiction governance covering 35+ jurisdictions in production.
Technology
The platform runs on a centralized high-performance data lake with optimized pipelines, allowing AI agents to correlate large financial datasets in real time while retaining audit trails. Features include a no-code nested scenario builder, natural-language AI rule builder, rule simulation against historical data, shadow rules for risk-free live testing, dynamic risk scoring driven by transaction activity and KYC data, network analysis for fraud rings, and AI agents that convert standard operating procedures into deployable, auditable agents. AML screening integrates data from LSEG and Dow Jones.
Go-to-market
Direct enterprise sales with demo requests, supported by customer case studies, a startup program for early-stage fintechs, partner programs including Nacha Preferred Partner status for ACH fraud monitoring, and hiring across six locations. Series A proceeds are directed at growing enterprise go-to-market coverage of banks, fintechs and credit unions in the US.
Banks and financial institutions, payment processors, digital banks and neobanks, credit unions, brokerages and trusts, crypto and Web3 companies, remittance providers, and fintechs, ranging from startups to global enterprises.
Geography
Offices in Berlin, Singapore and Bangalore, with London (EMEA headquarters), New York and San Francisco added in 2025; the company states it hires across six locations and operates without a traditional headquarters. Customers span 30+ to 35+ countries and six continents.
History
The company was created by Baran Ozkan and Madhu G. Nadig after Ozkan spent 18 months evaluating transaction monitoring vendors without finding a satisfactory solution. Within six months of launch the platform was serving customers on three continents. Flagright announced a $4.3M seed round led by Frontline Ventures in April 2025, alongside the launch of AI Forensics, the Flagright Startup Program, and new offices in London, New York and San Francisco. In June 2026 it announced a $12.5M Series A led by Infinity Ventures to expand explainable AI use cases and its US market presence.
Compiled by commissioned research from 8 cited public sources — announcements, filings, and press listed under research sources below.
Key figures
latest reportedCompany-reported or press-reported figures, each dated to when it was claimed — not independently audited.
Founder mafia
2 people who came through Flagright went on to found or lead other companies.
Competitors · 6
by search overlapCompanies competing with Flagright for the same Google search keywords, organic and paid, via search-intersection analysis.
Timeline · 15
launches, deals, and filingsPayhawk selects Flagright for real-time transaction monitoring and watchlist screening across cards, accounts and payments on its spend management platform.
Digital asset exchange BTSE adopts dynamic risk scoring, real-time watchlist screening and case management.
Deployment across Verto's cross-border payments and FX infrastructure.
Series A with participation from Sella Direct Ventures and existing investors Frontline and Y Combinator, to expand explainable AI use cases and US market presence.
$12.5M source ↗
Third consecutive year of inclusion in the RegTech100 list.
Flagright added a London EMEA headquarters plus New York and San Francisco offices, complementing existing sites in Berlin, Singapore and Bangalore.
Seed funding to accelerate AI development, launch AI Forensics and the Flagright Startup Program, and open offices in London, New York and San Francisco.
$4.3M source ↗
A family of AI agents automating compliance workflows for screening, monitoring, governance and quality assurance; AI Forensics for Screening is cited as delivering 93% false positive reduction and 80% faster investigations.
Dated company events from announcements, filings, and press; legal rows summarize public dockets and regulator releases.
In the news
Flagright has raised $12,500,000.00 in new Series A funding - intelligence360intelligence360.news · Jul 2026▸Research sources · 8
primary sources listed
- Flagrightflagright.com · web
8 public sources were cited for this profile; the first-party ones are listed here.
Frequently asked questions
- What does Flagright do?
- Flagright sells an AI-based financial crime compliance platform covering transaction monitoring, screening, risk scoring and case management.
- Who founded Flagright?
- Flagright was founded by Baran Özkan, Madhu G. Nadig, Madhu G Nadig in 2021.
- Who are Flagright's investors?
- Flagright's investors include Frontline Ventures, Infinity Ventures, Moonfire Ventures, Y Combinator.
- How much funding has Flagright raised?
- Flagright has disclosed $25M raised across 2 of its 4 known rounds.
- Where is Flagright headquartered?
- Flagright is headquartered in San Francisco, US.









