SpyCloud raises $35M to bolster its cybersecurity efforts against account takeovers

Cybersecurity startup SpyCloud Inc. announced today that it has raised $35 million in new funding to continue to expand its offerings that are targeted at preventing cybercrime.

Founded in 2016, SpyCloud offers account takeover prevention with a platform that helps companies detect when their employee login credentials leak online. The platform also extends to protecting consumer accounts directly or through product integration with an aim to proactively defeat fraud attempts and disrupt an attacker’s ability to profit from stolen in

The company gathers data from breaches, malware-infected devices and dark web sources, which it transforms into actionable insights to help enterprises prevent ransomware, protect against consumer fraud losses and investigate cybercrime incidents.

Key features of the platform include the ability to spot if employee passwords associated with internal supply chain applications appear on the dark web. It also detects other types of leaked login credentials and is also able to find compromised cookies. With cookies, hackers can steal and use the cookies installed on employee devices for session jacking.

SpyCloud’s solution integrates with a wide range of services, including Active Directory, Okta Inc., Tines Inc., Splunk Inc., Microsoft Sentinel, Palo Alto Networks Cortex XSOAR and other identity response, orchestration and direct services tools. 

The company has seen strong growth and counts among its customers half of the Fortune 10. Notable customers include Canva Pty Ltd., Intuit Mailchimp, LendingTree LLC, Atlassian Corp. PLC, Uber Technologies Inc., Zscaler Inc. and Samsonite International S.A.

CIBC Innovation Banking – the investment arm of the Canadian Imperial Bank of Commerce, led the growth financing package.

“As the threat landscape continues to evolve, it’s imperative that digital identities are well protected since they’re the entry point for so many targeted attacks,” Ted Ross, chief executive officer and co-founder of SpyCloud, said in a statement. “Building automated solutions that combat cybercrime has been our vision since day one, and the financing we received from CIBC Innovation Banking will allow us to continue innovating and growing.”

Including the new funding, SpyCloud has raised approximately $168 million to date in venture capital funding and growth equity, including a raise of $110 million in August 2023.

Image: SpyCloud