Knot Technologies announced a USD 1 mn pre-seed round led by Cairo-based VC A15 in a statement (pdf). Founded by a team from Meta, Goldman Sachs, and Mubadala, the company is working to “rebuild how identity, distribution, and value flow in live events.”

Knot exists to address a problem many of us know only too well. “It’s almost impossible to get these [in-demand] tickets from the primary market because of all the bots [and] professional resellers,” co-founder and CEO Ahmed Abdalla tells EnterpriseAM. Fans end up paying "10 times the price, 100 times the price" on unregulated channels, only to find out at the venue that they have a fake ticket.

For operators, this is about recapturing leaked revenue. Currently, organizers see “10 to 20% of a stadium” sold on the black market at massive markups, but “they’re not able to capture any of that upside.” Knot allows them to bring that unregulated activity back onto their own balance sheets.

The startup is using AI to scrap the first-come, first-served model of ticket sales. “For us, preventing resale shouldn’t actually just happen at the resale level...we want to ensure from the very beginning that the ticket goes to the right person based on the data,” Abdalla explains. Knot is positioning itself as a silent backend that integrates with venues and event organizers’ websites that ensures that for its clients. To do this, it relies on an “AI layer that authenticates identity, governs distribution, and tracks demand in real time,” according to the statement.

While ticketing is Knot’s main focus right now, “the underlying technology has the potential to create value far beyond ticketing,” according to co-founder and CTO Hussein Elbendak. Abdalla sees the technology expanding to any market with high demand and “unregulated secondary markets,” like sneaker drops and restaurant bookings in cities like London and New York.

What’s next? The startup has its eyes on entering at least three or four major geographies by the end of the year and establishing itself as one of the largest ticketing companies in Egypt, Abdalla said.

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