Charm Security Emerges From Stealth to Combat Scams and Social Engineering Exploiting Human Vulnerabilities, Securing $8M in Seed Funding from Team8's Venture Creation Fund

AI-driven platform proactively 'Breaks the Scam Spell' to prevent financial losses, build customer trust, and meet regulatory requirements

NEW YORK, March 25, 2025 /PRNewswire/ -- Charm Security ("Charm"), an AI-powered customer security platform, today announced its launch from stealth, securing $8 million in seed funding led by Team8. By leveraging real-time AI-powered agents, Charm intervenes to prevent scams before they occur and protect organizations and their customers from social engineering and human-centric fraud.

Charm is led by Roy Zur, a cyber intelligence expert, senior Officer at the Israeli Cyber Intelligence Unit 8200, an attorney, and serial entrepreneur with more than 20 years of experience in cybersecurity and fraud prevention, and Avichai Ben, former Data Science Lead at Transmit Security and Microsoft, who has pioneered AI-driven fraud detection solutions for major enterprises. The company was built in partnership with Team8, a global venture creation firm specializing in cybersecurity, fintech, data, AI, and digital health.

"Scammers are evolving at an unprecedented pace, using AI to deceive customers before traditional fraud systems can intervene," said Roy Zur, Co-founder & CEO of Charm Security. "We are on a mission to break the 'scam spell' by leveraging AI-powered real-time interventions and psychological insights to protect users when they need it most."

Fraud tactics have evolved from system exploitation to sophisticated social engineering, making individuals the weakest link in security. Fraud Exposed, a recent report by Team8, notes that AI-powered scams have resulted in $1.03 trillion in global losses. As banks face growing regulatory scrutiny and liability for authorized push payment (APP) fraud, the need for real-time, customer-centric scam prevention has never been greater.

Charm aims to mitigate scam risks by assessing human vulnerability exposure, analyzing customer risk patterns, and delivering tailored mitigation strategies based on psychological insights, data analysis, and AI. This proactive approach strengthens defenses before scams occur. When scams are actively unfolding, Charm can go a step further by disrupting them in real time.

Financial scams are increasingly drawing the attention of industry leaders as evolving fraud tactics and the rise of generative AI reshape the threat landscape. "Fraud prevention has come a long way, but the rise of generative AI has fundamentally reshaped the threat landscape – giving fraudsters a strategic edge over financial institutions and their customers. Charm is uniquely positioned to turn the tide, using AI-driven solutions to help financial institutions protect their customers from scams and social engineering," noted Tomer Barel, President of Melio and former Meta and PayPal executive.

"AI-driven scams and social engineering fraud that preys on human vulnerabilities have escalated into a trillion-dollar problem, demanding a fundamental shift in fraud prevention," said Rakefet Russak Aminoach, Managing Partner at Team8 and former CEO of Bank Leumi, Israel's largest bank. "Charm Security's approach empowers organizations to protect their customers and navigate evolving regulatory expectations. With the founders' deep cybersecurity expertise and Team8's company-building credentials in the cyber, fintech, and AI domains, Charm is well-positioned to make a meaningful impact in fraud prevention."

Charm will utilize the new funding to expand its team, accelerate product development, broaden its market reach, and forge strategic partnerships to increase the adoption of its scam prevention platform.

About Charm Security
Charm Security is an AI-powered customer security platform that protects organizations and their customers from scams, social engineering, and human-centric fraud. By combining real-time AI-driven interventions, psychological insights, and scam intelligence, Charm empowers organizations and their customers to "break the scam spell" and make secure decisions at critical moments - reducing fraud losses, strengthening trust, improving operational efficiency, and meeting regulatory requirements. Founded within Team8's venture creation fund by cybersecurity experts Roy Zur and Avichai Ben David, Charm Security is redefining fraud prevention for the AI age.

For more information, visit charmsecurity.com.

About Team8
Team8 is a venture fund with over $1B in AUM that positions founders to tackle the world's biggest challenges in fintech, cyber, data and AI, enterprise infra, and digital health domains, through a proven methodology. With our signature Venture Creation and Capital models, a village of world-class leaders, and the most thorough validation processes, Team8 builds and invests in companies that are designed for success.

For more information, visit: www.team8.vc.

SOURCE Charm Security