Today, we’re announcing that Flagright has raised a $12.5M Series A, led by Infinity Ventures, with participation from Sella and continued backing from existing investors including Frontline and Y Combinator.

Financial crime compliance is entering a platform shift.

Across banking, payments, lending, brokerage, credit unions, and other regulated sectors, institutions are being asked to move faster, manage higher volumes, meet rising regulatory expectations, and respond to increasingly sophisticated financial crime. At the same time, AI is moving from experimentation into operational reality.

The problem is that much of the compliance stack was not built for this environment.

Many institutions are still forced to choose between rigid legacy systems that are difficult to adapt and fragmented point solutions that create more operational complexity than they remove.

Flagright is the AI operating system for financial crime compliance, built to end that tradeoff.

Flagright brings transaction monitoring, watchlist screening, risk scoring, case management, AI forensics, and governance workflows into a unified AI operating system for financial crime compliance. The platform combines best-in-class compliance modules, enterprise grade workflows, and explainable AI capabilities that help fincrime teams improve recommendations, system optimization, alert investigations, and decision support while keeping control, transparency, and human oversight at the center.

“The financial crime compliance stack is being rebuilt, and Flagright is the company to define the operating system layer for this category,” said Baran Ozkan, co-founder and CEO of Flagright. “Regulated financial institutions need a system that gives them speed, control, explainability, and auditability in one place. This round helps us accelerate our position as the enterprise standard for financial crime compliance by expanding explainable AI use cases across compliance operations and increasing our US market presence, while we continue serving sophisticated clients with the reliability and depth they expect from a mission critical software.”

The round will accelerate Flagright’s position as the enterprise standard for financial crime compliance by expanding explainable AI use cases across compliance operations and increasing its US market presence.

This includes expanding AI across investigations, alert intelligence, rule optimization, decision support, and audit-ready workflows, while growing Flagright’s enterprise go-to-market presence around banks, fintechs, credit unions, and regulated financial institutions looking to replace fragmented or legacy compliance infrastructure.

“AI in compliance only matters if it is explainable, governable, and useful in real operations. The market does not need another black box tool. It needs an operating system that brings monitoring, screening, investigations, governance, and explainable AI together in one place. We are building the system of choice for sophisticated institutions that need AI they can trust, audit, and operationalize at scale.”
“At Infinity Ventures, we back founders building best-in-class modern financial infrastructure. Flagright stood out because sophisticated financial institutions are increasingly choosing the platform for its combination of enterprise readiness, explainable AI, operational flexibility, and product maturity. We believe Flagright is defining the AI operating system layer for financial crime compliance, and we expect the company to become the market leader in this category over the next five years.”

We are grateful to our clients, partners, investors, and team for the trust they have placed in us.

This round is an acceleration point. And with the market moving toward a more unified, intelligent, and enterprise-grade approach to financial crime compliance; we intend to define that future.