Unbound raises $4 Mn in seed round led by Race Capital

Unbound, which helps enterprises adopt Generative AI tools securely and responsibly across their organizations, has raised $4 million in a seed funding round led by Race Capital, along with participation from Wayfinder Ventures, Y Combinator, Massive Tech Ventures, and other notable angel investors.

The proceeds will be deployed for hiring and growth in India, expanding integrations across the AI ecosystem, deepening model routing capabilities, and supporting internal model orchestration for enterprises adopting open-source LLMs, Unbound said in a press release.

Co-founded in 2023 by Rajaram Srinivasan and Vignesh Subbiah, Unbound ensures that IT and security teams maintain the oversight they need. The startup provides detailed visibility into usage patterns, helps control the flow of sensitive data, and enables policy enforcement to align with organizational standards. Unbound makes enterprise AI adoption safer, more transparent, and easier to manage.

According to Unbound, it gives IT teams the visibility and controls they need to safely introduce and manage AI tools in the enterprise. Its AI Gateway plugs into commonly used tools – like Cursor, Roo, Cline, or internal document copilots – and provides real-time protection, model routing, and usage analytics.

Unbound states that its product is already being used by a growing base of mid-market and enterprise customers across sectors including tech and healthcare. One of its customers recently used it to safely introduce Gemini 2.5 into production AI tools for more than 100 engineers within the same week.

Unbound has already prevented the leakage of hundreds of secret credentials – including passwords, API keys, and connection strings – as well as more than 500 instances of personally identifiable information, such as customer names, phone numbers, and patient records.

Some of the other players in the space include Broadcom’s Symantec DLP, Palo Alto Networks, Netskope, and GenAI security startups like Lasso and Aim Security.