Riga-based biometric technology firm Handwave has secured US$4.2 million in Seed funding to roll out its palm-based identity and payment solution across Europe and the United States.

The round was led by regional investor Practica Capital, with participation from FirstPick, Outlast Fund, and Inovo.vc.

The funds will support the development of the platform, obtain necessary regulatory certifications, and initiate retail pilot programmes.

Founded in 2021, Handwave enables users to pay, verify their age, access loyalty programmes, and check in using only their palm, without the need for cards, mobile phones, apps, or facial recognition technology.

The startup’s solution uses proprietary technology to scan both the surface patterns and subdermal vein structure of the palm to generate a unique, encrypted identifier, according to EU Startups.

Co-founder Jānis Stirna explained the company’s focus:

“We’re building the next evolution in everyday identity and payment experiences. The checkout process in physical stores is still full of friction, digging for a wallet, opening apps, scanning loyalty cards or QR codes, verifying age while buying age-restricted items. It’s slow, clunky, and often frustrating. Handwave simplifies all of that with a single gesture.”

Once registered, users can enrol via a phone camera scan and link their payment, identity, and loyalty credentials to a digital wallet.

At point of sale, they need only present their palm above a compatible reader to complete transactions or verify information.

According to the company, unlike facial recognition, its system does not enable location tracking, and unlike fingerprint systems, is more resistant to spoofing.

Each scan is supported by a unique algorithm, offering two-factor biometric authentication.

The founding team brings experience from both the finance and technology sectors, giving the startup a foundation in security, compliance, and operational scalability.

For retailers, Handwave aims to improve transaction speed, simplify regulatory compliance, and support customer relationship digitisation, all without the need for costly hardware upgrades.

Handwave is currently preparing for live trials and strengthening its biometric infrastructure while developing partnerships with merchants in the Baltics and beyond.

Featured image credit: Handwave

This article first appeared on Fintech News Baltic