In mid-June, Estonian ID verification startup Veriff announced it had raised $7.7m in an investment round led by Mosaic Ventures, with TransferWise’s co-founder Taavet Hinrikus and Hollywood actor turned startup investor Ashton Kutcher also participating.
Some five years ago it would have been hailed by the local press as an extraordinary event, but this summer’s Veriff investment round barely caused a ripple.
The reason is simple. In the past two years, multi-million dollar investments in local startups have become regular events, and this spring and early summer even bigger announcements have just kept on coming.
For example, a few days before Verify made its investment public, CRM and sales startup Pipedrive announced it had attracted $50m in a series C round led by Insight Venture Partners and Bessemer Venture Partners.
A week earlier, self-driving robot delivery startup Starship Technologies picked up $25m from Matrix Partners and Morpheus Ventures among others. That was preceded by ride-hailing startup Taxify becoming a unicorn as it closed a $175m investment round led by Daimler.
So, what is happening in Estonia? Sten Tamkivi, former general manager of Skype and co-founder of location services startup Teleport, now part of Topia, believes that the surge in investments is a direct result of the tech development that’s gone on in the small Baltic state.
He explained that in recent years the whole technology ecosystem has developed rapidly, which has also driven growth in the number of startups. As a result, Veriff’s single…