Visa acquires BioCatch for $2.4 billion to combat AI-driven fraud

The acquisition brings BioCatch’s platform—which monitors keystroke patterns, touch pressure, and behavioral signals—directly into Visa’s rapidly growing value-added services division. By identifying the subtle markers that distinguish legitimate users from automated bots, Visa intends to intercept fraudulent activity before a transaction is ever completed. This integration targets a global fraud epidemic that Visa estimates drains over $1 trillion from the economy each year.

BioCatch currently serves 760 million users across 350 banks, but joining Visa allows the startup to scale its footprint significantly. Andrew Torre, president of Visa’s value-added services, noted that the technology is essential for stopping scams at the source. The deal, which involves purchasing the startup from London-based private equity firm Permira and other stakeholders, is slated to close by the second quarter of Visa’s 2027 fiscal year, pending standard regulatory reviews.

In a public statement, BioCatch acknowledged that current industry efforts are falling behind the pace of financial crime. The startup noted that the volume of mule accounts and scam attempts continues to grow at an exponential rate. By folding these capabilities into Visa’s rails, which process over 329 billion transactions annually, the company hopes to shift the momentum in an increasingly lopsided battle against bad actors.