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FUNDED: Sphinx Raises $7.1M to Automate Compliance 
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FUNDED: Sphinx Raises $7.1M to Automate Compliance 

FUNDED: Sphinx Raises $7.1M to Automate Compliance 

Fintech Nexus Staff·
Popular
·Feb. 20, 2026·2 min read

Most compliance software adds visibility. Sphinx wants to do the work.

The San Francisco–based fintech startup just raised a $7.1 million seed round led by Cherry Ventures, with participation from Y Combinator, Rebel Fund, Deel Ventures, and Singularity Capital

Its pitch is simple: compliance isn’t primarily a technology problem, it’s an operations problem, and AI agents, not dashboards, are what will unblock financial institutions.

Sphinx builds browser-native compliance agents that operate directly inside the tools teams already use, from case management systems and third-party portals to PDFs, email, and internal dashboards

Instead of asking institutions to adopt yet another RegTech platform, Sphinx says its agents log in like a human analyst would and execute workflows end-to-end: reviewing alerts, running AML, KYC, and KYB checks, gathering documentation, drafting RFIs, writing case narratives, and producing regulator-ready audit trails by default.

“The biggest thing we’ve learned is that compliance is an operations problem before it’s a technology problem. Every institution runs differently. Different policies, systems, regulatory expectations and risk appetite,” said Alexandre Berkovic, co-founder and CEO of Sphinx. “Before writing a line of code, we sit with compliance teams and understand how decisions actually get made. That’s what allowed us to build agents that institutions trust with real outcomes. And in regulated environments, adoption ultimately comes down to three things: zero engineering lift to get started, human experts working alongside customers, and full audibility behind every decision.” 

That last point is where Sphinx is trying to separate itself. Every action the agents take is logged, reproducible, and tied to a defensible decision trail, designed for audits, regulatory reviews, and model risk governance. And every deployment comes with an embedded internal compliance team, staffed by former bank compliance officers who map SOPs, validate decision logic, and tune workflows alongside customers.

The company says its agents are already live across eight countries with banks, fintechs, crypto platforms, and publicly traded U.S. companies regulated by the OCC, FDIC, and Federal Reserve

In production, Sphinx has processed millions of alerts and hundreds of thousands of cases, helping institutions clear backlogs, reduce onboarding cycle times, and scale operations without adding compliance headcount.

It’s a bet that in compliance–where systems are fragmented, expectations vary by regulator, and mistakes are expensive–the winning product won’t be a better dashboard, but a true collaborator.

–

This article was drafted with the help of generative AI using company-submitted details, then manually edited and carefully reviewed by a human editor before publication.

  • Fintech Nexus Staff
    Fintech Nexus Staff

    This piece was created by one of our content team members. Reach us at [email protected]

    View all posts
Tags
AI agentsAlexandre Berkovicanti-money laundering (AML)audit trailsCherry Venturescompliance automationDeel VenturesFDIC regulationFederal Reserve regulationfinancial institutions complianceknow your business (KYB)know your customer (KYC)OCC regulationRebel FundregtechSingularity CapitalSphinxY Combinator
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