Shield Compliance, a Seattle, WA-based provider of a compliance management platform for financial institutions serving legal cannabis markets, raised $5m in Series A funding.
The round, which brought post-money valuation to $20m, was led by Copia Investments.
The company intends to use the funds for the continued development of the Shield Data Hub.
Led by Noah Carey, founder and CEO, and Tony Repanich, president and COO, Shield Compliance offers a secure platform built for financial institutions serving legal cannabis markets in Colorado, Illinois, Massachusetts, Michigan, Ohio, and Washington to manage risk, comply with regulations, satisfy operational demands and scale operations.
The Shield Data Hub is a central component of the company’s cannabis banking platform, which works by aggregating financial institutions’ transaction data and demographic records with restricted and publicly available information from state and local governments, seed to sale tracking, and client financial statements.
This automated approach allows banks and credit unions to streamline compliance and scale their operations while accessing new sources of low-cost deposits and gaining a first-mover advantage on MRB customers.