Blockchain-based Security Startup Nuggets Raises Funds with ICO for 2018 Launch

EXCLUSIVE – With the Equifax hack, the perils of a data breach are no longer a hypothetical problem. The hack has laid out the red carpet for startups focusing on data security. Nuggets is one such company.

Based in London, Nuggets is a zero-knowledge security company that uses blockchain technology and biometric authentication to protect consumer data in the payment processing space.

“The aim is to give back the data to the consumer,” Alastair Johnson, founder and CEO told Bank Innovation. “It is a consumer first-product.”

To use Nuggets, the user would download the app and then through biometrics create a private key to access their data No username or password is required. The user is required to verify the account with a selfie and then add their initial payment information. The account will be established on the blockchain, giving the user and only the user the access to the information.

So, when the user logs into a site they can authenticate their identity through Nuggets.

For this, the merchant or bank would have to be partnered with Nuggets to let users have that option.

Johnson, who is busy pitching his product to merchants and banks, said that there are already many interested partners.

Nuggets is already in talks with U.K. bank BBVA.

He declined to disclose any additional details.

“Over the last two months we have been testing out the solution with the UK Financial Conduct Authority,” Seema Khinda Johnson, Nuggets co-founder told Bank Innovation. “We are still in the sand box, and are required to continue with consumer testing for next six months leading up to our launch.”

Given that the company is using blockchain technology to enable its zero-knowledge technology, it is only fitting that the company turns to an Initial Coin Offering to raise money.

Enter Argon Group.

Based in Los Angeles, Argon is an end to end digital currency platform that runs ICOs through a token issuance platform called token hub.

“Crypto is still a very nascent industry,” Richard McBeath, VP of Marketing at Argon told Bank Innovation. “And Nuggets is one of the first products that has a broad-based use, which is why we are so interested in them.”

Nuggets and Argon declined to provide details on the ICOs pricing.

The ICO presale starts Oct. 24. The company will launch in January on Google Play in the U.K. It will then release on iOS soon after.

After the U.K., it will launch in the U.S.

Nuggets and Argon declined to disclose a specific timeline for the U.S. launch.