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- Stytch
Stytch Acquisition, Valuation, Funding & Investors
Stytch was acquired by Twilio in October 2025.
Cumulative funding Stytch raised
$126M
across 3 funding rounds
Key investors in Stytch
Index Ventures
Benchmark
Coatue
Thrive Capital
Operator Partners
Dylan Field
Contrary
Angel Collective Opportunity Fund
About Stytch
Stytch is a San Francisco-headquartered developer platform for passwordless authentication. The service offers APIs for email magic links, SMS passcodes, and biometrics, integrating with applications built on React and Next.js. Founded in 2020, Stytch secures user logins for startups and enterprises handling sensitive data across web and mobile.
Founded
2020
HQ
Website
Status
Acquired
Customer focus
B2B
Revenue model
Subscription
Valuation
$1B (Nov 2021)
Stytch Acquisition
Stytch was acquired by Twilio for an undisclosed price on 29 October 2025.
Before the acquisition Stytch had raised $126M across 3 funding rounds.
Stytch, a developer-focused identity platform specializing in passwordless authentication, workflow-based identity orchestration, and APIs for AI agents, was acquired by Twilio, a cloud communications platform as a service (CPaaS) provider known for programmable engagement tools including messaging, voice, and data infrastructure. The deal was announced on October 30, 2025, with completion on November 14, 2025, marking Twilio's strategic expansion into identity management amid rising demand for secure AI-driven workflows. Stytch's technology complements Twilio's stack by enabling unified identity across humans and agents, real-time fraud prevention, and differentiation between trusted and rogue agents. The acquisition addresses the 'generational transformation in digital identity' driven by agentic AI, where Twilio's human-centric communications platform needed enhancement for non-human traffic authentication. Post-acquisition, Stytch remains the contracted service provider with no immediate changes to customer contracts, pricing, SDKs, or APIs, while Twilio assumes data governance oversight. Future plans include deeper fraud defenses, global coverage via Twilio's network, and next-generation features like contextual verification for AI-powered applications. Twilio's Q3 2025 results, with $1.3 billion revenue up 15% year-over-year and improved profitability, underscored the timing, aligning the deal with enterprise priorities in identity for security and developer productivity. Stytch, having raised $126 million including a $90 million Series B led by Coatue, powers hundreds of millions of users and thousands of apps, positioning the combined entity as a leader in hybrid identity for the AI era.
| Acquirer | Date | Type |
|---|---|---|
| 29 Oct 2025 | Strategic M&A |
Stytch Valuation
Stytch is currently valued at $1B, based on its Series B in November 2021.
The $90M round was led by Coatue, with participation from Index Ventures, Benchmark, Angel Collective Opportunity Fund, Thrive Capital and Contrary.
Stytch's valuation has grown 5.0x from $200M at its Series A in July 2021 to $1B in November 2021, across 2 priced rounds.
Stytch valuation by funding round
| Date | Stage | Valuation |
|---|---|---|
| Nov 2021 | Series B | $1B |
| Jul 2021 | Series A | $200M |
Stytch Funding History
Stytch has raised a total of $126M across 3 funding rounds.
Stytch's first fundraising round was a $6M seed round in January 2021. The most recent completed round was a $90M Series B in November 2021.
Stytch funding rounds
| Date | Stage | Investors | Raised | Valuation | Deal Summary |
|---|---|---|---|---|---|
| Nov 2021 | Series B | Coatue (lead); Index Ventures; Benchmark; Angel Collective Opportunity Fund; Thrive Capital; Contrary | $90M | $1B | Stytch, a San Francisco-based company founded in 2020 by former Plaid engineers, provides an API-first passwordless authentication platform that enables developers to integrate secure, user-friendly authentication methods such as email magic links, SMS and WhatsApp passcodes, OAuth connections, and one-click user invitations into apps and websites. The platform addresses password-related security vulnerabilities and user friction, improving onboarding, conversions, and retention. On November 18, 2021, Stytch raised $90 million in a Series B round led by Coatue Management, with participation from existing investors Benchmark Capital, Thrive Capital, and Index Ventures, achieving a $1 billion post-money valuation and unicorn status. The funding came just four months after Stytch's $30 million Series A led by Thrive Capital in July 2021 at around $200 million valuation. By November 2021, Stytch had grown rapidly, with developer usage surging from 350 at the Series A to approximately 3,500-4,000 developers, charged on a usage basis, representing nearly 1,000% growth. The company announced the acquisition of Cotter, a Y Combinator-backed no-code passwordless authentication platform, as part of the round to accelerate its vision of a passwordless future by combining technologies and simplifying adoption for developers. Stytch plans to use the proceeds to expand product tools and infrastructure for authentication, grow its team from 27 to over 150 employees focusing on product and engineering, enhance security features including fraud prevention, and scale operations amid rising demand for seamless identity solutions in a market shifting away from traditional passwords. Investors highlighted Stytch's innovative API-driven approach amid evolving online identity challenges, positioning it to lead in developer-centric authentication. |
| Jul 2021 | Series A | Thrive Capital (lead); Index Ventures; Worklife Ventures; Benchmark; Alex Adelman; Coatue | $30M | $200M | Stytch provides APIs for seamless user onboarding, authentication, and engagement, focusing on passwordless authentication to improve security and user experience in both B2B SaaS and consumer applications. The company raised a $30 million Series A round on July 14, 2021, led by Thrive Capital with participation from Alex Adelman, Benchmark, Coatue, Index Ventures, and Worklife, at a valuation of approximately $200 million. This followed a $6 million seed round in summer 2020 led by Benchmark, bringing total funding to over $36 million at that point. Stytch operates a pay-as-you-go pricing model scaling with monthly active users for consumer apps and enterprise connections for B2B, maintaining gross margins in the mid-60s to high-70s percent. It targets developer-led growth with superior SDKs and integrations, expanding to enterprise sales and migrations from competitors like Auth0, offering features like biometric logins, web3 support, SSO, and fraud prevention. The Series A supported scaling amid a growing identity and access management market valued at $22.9 billion in 2024. Stytch reached unicorn status four months later in November 2021 with a $90 million Series B at over $1 billion valuation led by Coatue, including Thrive, Benchmark, and Index Ventures, totaling $126.3 million raised. The company was later acquired by Twilio in October 2025. |
| Jan 2021 | Seed | Benchmark (lead); Index Ventures; Mahmoud Abdelkader; Amber Feng; Jeff Morris Jr.; William Hockey; Dylan Field; Lenny Rachitsky; Operator Partners | $6M | - | - |
Who has invested in Stytch?
15 investors have backed Stytch across its funding rounds, including Index Ventures, Benchmark, Coatue, Thrive Capital, Operator Partners and Dylan Field.
Lead investors include Coatue, Thrive Capital and Benchmark.
Stytch Investors
| Investor | HQ | Rounds | Role | First check |
|---|---|---|---|---|
| 3 | Participant | Jan 2021 | ||
| 3 | Lead | Jan 2021 | ||
| 2 | Lead | Jul 2021 | ||
| 2 | Lead | Jul 2021 | ||
| 1 | Participant | Jan 2021 | ||
| 1 | Participant | Jan 2021 | ||
| 1 | Participant | Jul 2021 | ||
| 1 | Participant | Jan 2021 | ||
| 1 | Participant | Nov 2021 | ||
| 1 | Participant | Jan 2021 | ||
| 1 | Participant | Jul 2021 | ||
| 1 | Participant | Jan 2021 | ||
| 1 | Participant | Jan 2021 | ||
This data is available for Pro users. Sign up to see all 15 Stytch investors. Start Free Trial | ||||
Benchmark 350K+ Funding Rounds and Disclosed VC Valuation Multiples
Sign up to see data on 350K+ funding rounds and disclosed revenue and EBITDA valuation multiples, from seed, through growth stage, to pre-IPO.
Start Free TrialAcquisitions by Stytch
Stytch has acquired 1 company to date.
Last acquisition by Stytch was on November 18th 2021. Stytch acquired Cotter for undisclosed valuation.
Latest Acquisitions by Stytch
| Description | Cotter is a San Francisco-based provider of passwordless authentication tools enabling one-tap logins for websites and mobile apps. Founded in 2018, the company integrates biometrics, QR codes, and push notifications, serving developers globally with SDKs for iOS, Android, and web platforms. |
| HQ Country | |
| HQ City | San Francisco, CA |
| Deal Date | 18 Nov 2021 |
| Valuation | undisclosed |
| EV/Revenue | |
| EV/EBITDA | |
This data is available for Pro users. Sign up to see all Stytch acquisitions and their M&A valuation multiples. Start Free Trial | |
Stytch Competitors
Stytch competitors include listed companies like Progress Software and NSFOCUS, and private ones like Socket, Aikido Security, Aqua Security and BigID.
| Company | HQ | Status | Revenue | EBITDA | Valuation | Revenue Multiple |
|---|---|---|---|---|---|---|
| Private | $17M | - | $1B | - | ||
| Publicly listed | $978M | $302M | $1.7B | 2.9x | ||
| Private | $13M | - | $1B | 76.9x | ||
| Private | - | - | $1B | - | ||
| Private | $100M | - | $1B | 10.0x | ||
| Publicly listed | $379M | $37M | $955M | 2.4x |
Stytch Public Comps
Stytch is no longer listed, but its public comps include Qt Group, NSFOCUS, BeiJing Certificate, Yubico, Rapid7, Riskified, Asiainfo Security, Mitek Systems, Eastcompeace Tech and Red Violet.
| Last FY | EV/Revenue | EV/EBITDA | ||||||
|---|---|---|---|---|---|---|---|---|
| Revenue | EBITDA | Last FY | LTM | 2027E | Last FY | LTM | 2027E | |
| $249M | $62M | 4.3x | 3.9x | 17.3x | 16.0x | |||
| $379M | $37M | 2.6x | 2.4x | 26.1x | 25.6x | |||
| $125M | ($12M) | 6.7x | - | (70.9x) | - | |||
| $226M | $19M | 3.3x | 3.2x | 39.7x | 25.6x | |||
| $860M | $63M | 1.3x | 1.3x | 17.4x | 6.8x | |||
| $345M | ($31M) | 1.8x | 1.6x | (20.3x) | 19.0x | |||
| $1.2B | ($11M) | 1.2x | 1.1x | (126.2x) | 339.7x | |||
| $180M | $37M | 4.1x | 3.7x | 19.9x | 11.2x | |||
This data is available for Pro users. Sign up to see all Stytch competitors and their valuation data. Start Free Trial | ||||||||
Common questions about Stytch
| When was Stytch founded? | Stytch was founded in 2020. |
| Where is Stytch headquartered? | Stytch is headquartered in San Francisco, CA, United States. |
| Is Stytch publicly listed? | No, Stytch was acquired by Twilio in October 2025. |
| Who acquired Stytch? | Stytch was acquired by Twilio in October 2025. |
| What is Stytch's valuation? | Stytch was last valued at $1B in its Series B in November 2021. |
| How much funding has Stytch raised? | Stytch has raised $126M across 3 funding rounds. |
| What was Stytch's last funding round? | Stytch's last funding round was a $90M Series B in November 2021, led by Coatue. |
| Who are Stytch's investors? | Stytch's investors include Index Ventures, Benchmark, Thrive Capital, Coatue, Mahmoud Abdelkader, Amber Feng, Worklife Ventures, Jeff Morris Jr., Angel Collective Opportunity Fund, William Hockey and 5 others. |
| Which companies are comparable to Stytch? | Companies comparable to Stytch include Socket, Progress Software, Aikido Security, Aqua Security, BigID and NSFOCUS. |
| How many companies has Stytch acquired? | Stytch has acquired 1 company, including Cotter. |
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