zkMe Technology Limited has successfully closed a $4 million seed funding round, led by Multicoin Capital with additional support from OKX Ventures and Robot Ventures. The fresh capital will be channeled towards developing the zkMe Network, a decentralized identity verification layer designed for Web3 applications. Slated for launch later this year, the network aims to address the increasing regulatory scrutiny in the crypto space, particularly from the EU’s MiCA regulations and the Financial Action Task Force.

zkMe Network will establish a neutral identity layer capable of integrating know-your-customer (KYC) and know-your-transaction (KYT) protocols while preserving user privacy through zero-knowledge proofs. KYC verifies user identities to prevent fraud and comply with regulations, while KYT monitors transactions to detect illegal activities. Both are essential for maintaining security and compliance within the crypto ecosystem.

The zkMe Protocol stands out as the world’s first FATF-compliant zero-knowledge KYC protocol. It enables client-side generation of zero-knowledge proofs before on-chain verification, reducing latency and enhancing data security. Users retain complete control over their information.

Since its inception in December 2022, zkMe’s technology has been adopted by over 60 Web3 projects, facilitating more than 650,000 consumer attestations. The company’s SDK supports integration with over 20 blockchains, demonstrating its versatility for developers. The recent funding will expedite zkMe’s development roadmap, including the launch of its app chain and decentralization of existing products.