A new security-focused transactional used-car marketplace has launched in Canada.

Eeze, which will operate in Ontario and Quebec, is “designed to combat fraud and uncertainty in private-party transactions,” and will provide a “comprehensive suite of services to verify individuals, vehicles, and facilitate secure money transfers.”

The startup says it will verify individuals by confirming their identity through “rigorous” screening processes that protect both parties from the risk of fraud. Eeze will validate the ownership and condition of vehicles, and check for liens.

“As online marketplace fraud increases, buyers face uncertainty when dealing with unfamiliar sellers in private sales, particularly in the used car market,” said the company.

“Even well-known platforms such as Kijiji, AutoTrader and Facebook Marketplace are susceptible to fraud. Eeze steps in to fill this gap, providing a secure and reliable environment for buyers and sellers to conduct transactions with peace of mind.”

The marketplace will let buyers and sellers upload scans of their driver’s license and undergo biometric verification through smartphones. Sellers can verify and validate themselves free of charge, while buyers will be able to upgrade to more premium services that offer extended protection on their purchases.

“At Eeze, we’re on a mission to de-risk private-party transactions by introducing trust, warranty, and financing options,” said co-founder Tave Della Porta.

“Our platform is designed to complement online marketplaces by addressing the challenges faced by both buyers and sellers in navigating the complexities of peer-to-peer auto sales.”

The motivation to establish the marketplace came from the multiple fraudulent buyers encountered by the founding team when trying to sell a used car.

“Listing a car is easy,” added Della Porta.

“What’s hard is avoiding clever scammers who will almost immediately try any number of creative tactics. Canadians buy and sell privately more than 1 million used cars annually, making it a prime target for scammers. With Eeze, we aim to provide a solution that eliminates the risks associated with private-party transactions.”

Canada’s used-car market is led by AutoTrader.ca, owned by private equity firm Thoma Bravo, which also owns the J.D. Power analytics house, AutoData and other auto investments.

It is followed by CarGurus.ca and KijijiAutos.ca / Kijiji.ca.

The AIM Group has contacted Eeze to ask for further information about the investment, team size and so on, and will update this article if we receive a response.

Related Articles