Burbank, a Welsh fintech company, has secured £5M in seed funding to launch its groundbreaking Card-Present over Internet (CPoI) technology, which brings in-store payment security to online transactions.
CPoI is the world’s first PCI-certified solution enabling consumers to tap their card against a mobile device and enter their PIN, just like in physical stores. This innovation eliminates fraud and false declines, which cost businesses hundreds of billions annually.
Burbank’s technology integrates seamlessly into apps and websites, offering a frictionless, secure payment experience. Led by Mouro Capital, the funding will support team expansion, technology enhancement, and global rollout, positioning Burbank as a leader in digital payments.
Founded in 2021 by Justin Pike, who previously developed key PCI security standards, Burbank aims to revolutionize online commerce by aligning digital and in-store payment security.
Inspired by consumer frustration with online authentication, Pike developed CPoI to enhance security while maintaining convenience. Industry investors praise its scalability and ability to shift liability away from merchants.
With strategic partnerships in the pipeline, Burbank is set for rapid global expansion, redefining e-commerce security and providing businesses with a cost-effective, fraud-resistant payment solution.
This Cardiff-based company is stepping up to tackle two massive headaches for online businesses: fraud and lost sales from “false declines.” Let’s break it down and see why this could be a big deal for shoppers and merchants alike.
Burbank’s £5 million seed funding round is led by Mouro Capital, a heavy hitter in the fintech investment world. This cash injection isn’t just pocket change, it’s fuel to expand their team, polish their tech, and take CPoI global.
So, what’s CPoI? It’s the world’s first PCI-certified system that lets you use your physical payment card online by tapping it on your mobile device and entering your PIN. Think of it as bringing the security and simplicity of in-store “tap-and-go” payments to your phone or laptop.
Why does this matter? Online shopping is booming, but it’s a wild west out there. Fraud costs businesses a staggering $40 billion a year, according to Riskified, a company that tracks e-commerce trends.
Then there’s the “false declines” problem, when legit purchases get flagged as suspicious, costing merchants $443 billion annually in lost sales. That’s money walking out the door because systems can’t tell the good guys from the bad.
Burbank’s CPoI promises to slash both issues by making online payments as secure as in-person ones, shifting the risk off merchants’ shoulders and onto card issuers. It’s a bold move, and the industry’s watching closely.
Behind Burbank is Justin Pike, a payments whiz who’s been at this game for over a decade. He founded the company in 2021, but his story goes back further. Pike previously launched MyPinPad, where he helped create the tech standards (SPoC and MPoC) that let PINs work securely on everyday devices like smartphones.
He’s also the guy who figured out how to use cloud-based security systems (HSM) for payments, pretty nerdy stuff, but it’s why he’s got the chops to pull off CPoI.
Talking to The Fintech Times, Pike shared a personal spark for this idea: “During COVID, my mother-in-law, uncomfortable with online shopping, asked why she couldn’t just ‘tap her card on her phone’ like in stores. That stuck with me.”
Combine that with skyrocketing fraud and clunky online security, and Pike saw a gap he could fill. “Payment experiences should be the same everywhere,” he told me. “In-store tap-and-PIN works, people trust it. Now we’re bringing that online. It’s simple, secure, and ready to scale.”
How It Works: Tap, PIN, Done
With CPoI, you don’t need digital wallets or stored card details that hackers love to snatch. You just tap your card on your phone, most modern cards and devices support this via NFC (near-field communication), and punch in your PIN. It’s like paying at a coffee shop, but for your Amazon cart.
The tech hooks right into retailer apps or pops up via a QR code on websites, making it easy for businesses to adopt. At a recent demo for payment bigwigs, Burbank pulled off the first-ever online card-present transaction.
Why’s this a game-changer? In stores, “card-present” payments (where you physically use your card) have way lower fraud rates than “card-not-present” online ones. Research from the Federal Reserve shows card-present fraud is just 0.03% per transaction, compared to 0.23% online, a sevenfold difference.
CPoI bridges that gap, and because it’s PIN-verified, it’s legally a card-present deal. That shifts liability to banks if something goes wrong, not merchants. For businesses drowning in chargebacks, $20 billion worth globally, per Juniper Research, this could be a lifeline.
Let’s dig into those stats. That $40 billion in annual fraud? It’s not just big retailers taking the hit, small businesses get slammed too. A 2023 report from LexisNexis found online fraud jumped 69% year-over-year, with crooks getting craftier.
Then there’s false declines: Riskified says 1 in 10 legit transactions gets rejected because anti-fraud systems are too twitchy. That’s $443 billion in sales merchants can’t claw back, customers just move on.
Burbank’s pitch is simple: CPoI cuts fraud by making payments ironclad and kills false declines by proving it’s really you paying. Early tests suggest it works—Pike claims zero false positives in trials. If that holds up, it’s a double win for merchants: less theft, more sales.
The investors are a who’s-who of fintech. Mouro Capital’s Manuel Silva Martinez told FF News, “Burbank’s single SDK integrates seamlessly into existing tech stacks and supports multiple schemes on iOS and Android. It’s what the market needs.” Translation: it’s plug-and-play for businesses, no overhaul required.
Ruth Foxe Blader from Foxe Capital added, “CPoI legally shifts liability off merchants. It’s scalable, and the demand is global.” These aren’t small players, Mouro manages $400 million, and Anthemis has a knack for spotting winners like Betterment and Trov.
Burbank’s not stopping at Wales. Pike’s plan is to team up with payment giants, acquirers, PSPs, gateways, and let them white-label CPoI under their brands.
“We’re focused on enterprise adoption,” he said. That means big retailers and platforms could roll this out fast. Imagine tapping your card to pay on every app from Shopify to Uber. With £5 million in the bank, Burbank’s hiring engineers, tweaking the tech, and chasing deals worldwide.
This isn’t just about one company, it’s about where online shopping’s headed. Fraud’s not slowing down; Juniper Research predicts it’ll hit $48 billion by 2027 if nothing changes. Meanwhile, customers hate jumping through hoops to pay, think clunky two-factor codes or forgotten passwords.
CPoI could set a new bar: fast, familiar, and fraud-proof. If it catches on, it might force competitors to up their game, making e-commerce safer for everyone
