Startup profile · funding coverage
VGS funding, valuation and investors
Data security platform tokenizing sensitive data so companies never store raw PII or PAN.
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Funding, valuation & investors
Answer-first snapshotLatest funding
Series C
Amount not disclosed · December 2020
Latest known valuation
Not publicly disclosed
Total disclosed equity funding
$8.5M
Excludes debt, grants, acquisitions, secondaries, and IPO proceeds.
Current status
private
growth · San Francisco, California
Overview
VGS (Very Good Security) provides a data security platform that tokenizes sensitive information — payment cards, bank accounts, social security numbers — so clients never store raw data in their systems. A vault proxy sits between applications and sensitive payloads, returning aliased tokens that map to secured vault storage. VGS raised an $8.5M Series A in 2019 led by Andreessen Horowitz with Slow Ventures and Redpoint participating, and a Series C in December 2020 led by Vertex Ventures US with a16z returning.
Why VGS is interesting
Very Good Security (VGS) vault proxy removes card and identity data from compliance scope — customers integrate once and shift PCI/PII burden to tokenized aliases.
Product & use cases
VGS Vault stores sensitive data and issues tokens or aliases to client applications. Integrations span payments, identity verification, and background checks — reducing PCI DSS and similar audit scopes by keeping plaintext secrets off customer infrastructure.
- Fintechs tokenizing card data to shrink PCI compliance scope
- Marketplaces storing seller bank details via VGS aliases
- Healthcare and HR apps tokenizing SSNs and identity documents
Key facts
- Series C (Dec 2020): led by Vertex Ventures US; a16z participated — VGS press
- Series A (2019): $8.5M led by a16z; Slow Ventures and Redpoint — VGS press
- Also known as Very Good Security
Funding history (newest first)
Series C
2020-12- Vertex Ventures US (lead)
- Andreessen Horowitz (participant)
Investors in our directory
Funds linked from VGS's profile — open a fund page for stage focus and related deal articles.
Competitive landscape
Edge: Developer-first vault API with broad connector library lets teams adopt tokenization without building in-house HSM infrastructure — time-to-compliance advantage vs. custom vault builds.
Tokenization-as-a-service grew as fintech exploded and compliance costs rose. VGS competes with Skyflow and Basis Theory for developer mindshare. Differentiation is connector breadth and production maturity (Series C 2020). Risk: payment processors and clouds adding native vault features.
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Basis Theory direct
Tokenization API for developers; similar developer-first vault positioning.
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Skyflow direct
Data privacy vault for PII; overlapping zero-trust data layer thesis.
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Stripe Vault adjacent
Payment tokenization within Stripe ecosystem; VGS is processor-agnostic.
Notable stories
- VGS founders previously sold a company to American Express before building the 'show us your data without storing it' vault model (company origin story).
Industries
Related funding articles
Venture Capital Tracker pieces that cover VGS's financing or category context.
FAQs about VGS
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