UK-based fintech firm Ravelin has raised £8 million in Series B funding to expand its e-commerce fraud risk prediction system into new markets.

Ravelin’s platform uses machine learning to identify and eliminate the risks to e-commerce businesses and after a successful two years operating, it wants to expand to the US east coast, with a new office and team of staff.

“This funding round will extend our reach into new geographies and grow our relationships with both new and existing clients,” chief executive Martin Sweeney said.

“As well as new offices, the funding will also enable us to expand our product range and accelerate us bringing the capabilities of machine learning for risk prediction to new industries including payment gateways and payment service providers.”

Ravelin works by using various machine learning tools to identify new and emerging risks to a business that processes transactions, flagging them so businesses can reduce their chargebacks, account takeovers, organised fraud rings and terms of service abuse risk. The funding round is led by BlackFin Capital Partners, with existing investors Amadeus Capital Partners, Passion Capital and Playfair Capital also active contributors.

“Using artificial intelligence to solve complex, real-world business problems at scale is in its infancy. Securing e-commerce is incredibly important to the prosperity of developed economies and Ravelin is at the forefront of doing just that,” Maxime Mandin, investment director at BlackFin commented.

As well as its core automated fraud detection platform, Ravelin has also recently launched a product for payment service providers and wants to offer more tools for businesses to prevent their businesses being used as a platform for fraud.

“There is no greater endorsement of our approach than the companies we’ve been able to add to our portfolio,” Sweeney added. “We’re proud that many of the world’s leading online businesses have chosen to work with us. We’ll continue to serve them well.”