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Schalk & Dewald Nolte

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Entrepreneur
Schalk & Dewald Nolte
Company
Entersekt
Industry
Technology: Software
Year Selected
Year selected 2015
Jobs at selection
50
Company Snapshot

Stellenbosch-based software house Entersekt is an African success story: the first company in the world to roll out a fully interactive online transaction authentication system for financial institutions. Financial institutions today recognise the value that mobile devices offer in shielding their customers from fraud. Yet, the most widely used approach, in which an OTP (one-time password) is sent to the customer’s mobile device, cannot guarantee that transactions are safe from phishing or man-in-the-middle attacks. Entersekt’s solutions (online banking authentication, mobile banking authentication, mobile app authentication and card-not-present authentication) transform just about any mobile phone into a powerful weapon in the fight against account takeover fraud. Founded five years ago, the company has already signed numerous banking clients in South Africa, Africa and in Europe. It has been certified by Visa, MasterCard and American Express for integration with their 3-D secure payment systems, and is certified FIDO Ready.

 

Entersekt’s product, Transakt, lies at the center of all of their solutions. Using industry-standard X.509 digital certificates and proprietary validation techniques developed specifically for the mobile phone, Transakt achieves two things: it converts the mobile device into a trusted second factor of authentication, and it ensures that no communications can be decrypted or spoofed by anyone at any point between the device and Entersekt’s FIPS 140-2 Level 3 hardware appliance, safely installed behind a bank’s firewall. Entersekt took on bespoke development in 2011–2013 to fund product development as well as to create market traction (development was only taken on if the work was done on their technology platforms and could therefore assist with product market entry as a reference). They have helped cut online banking fraud for some of their clients to zero. Transakt has accrued Gartner recognition in the Hype Cycles for E-Commerce, Application Security, Data and Collaboration Security and Legal and Regulatory Information Governance 2013 publications, as well as honorable mentions in the Authentication Magic Quadrant 2013 and 2014. Currently four of the top six South African banks use Entersekt software. Entersekt derive their revenue (recognized as per IFRS) from license fees, professional services and the sale of appliances. It is now focused on expanding into the broader African, European and North American markets. The technology developed to protect against attacks in the South African market is directly applicable to these geographies. As of July 2015, there were over 14 million users protected by Entersekt’s products, with an average 400 000 new users added monthly.

"Entersekt delivers gold standard user authentication - innovative products, built on a rock-solid security platform that allow financial institutions and other enterprises to communicate interactively with their customers through the mobile phone."