Sedric monitors the communications of employees at financial institutions to ensure compliance
Sedric has raised around $20 million for its platform that monitors worker communications at financial institutions for compliance.
For financial institutions, complying with regulations is becoming a costlier proposition. According to a recent poll, 76% of financial services firms increased their compliance expenditure from 2022 to 2023, with most blaming new laws.
With the cost of compliance averaging out to around $10,000 per employee these days, many firms are searching for ways to reduce spending without running afoul of regulators. Entrepreneurs Nir Laznik and Eyal Peleg say that they’ve created a solution — powered by generative AI, as is the trend.
Laznik and Peleg co-founded Sedric, an AI-powered platform designed to help financial institutions implement compliance rules and flag possible issues. Prior to Sedric, Laznik spearheaded several startups, including a photo kiosk software firm, while Peleg spent close to eight years at Intel’s AI and machine learning org.
“We realized there was disproportionate pressure on mid-size organizations, combined with a new set of challenges for banks,” Laznik said. “We knew the rapid advancements in AI could address these problems in an entirely new way. This convergence of factors led us to create Sedric.”