Revel Systems CEO and co-founder Lisa Falzone told CNBC the funding would be used to make the company "the standard in the industry" with investments in its infrastructure and R&D.
The addressable market for its iPad-based point-of-sale system could total $60 billion, she added.
With news of recent security breaches of customer data reported by such retailers as Home Depot and Target, the encrypted process used by Revel could provide a boost to the payments company.
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"That's also another reason why a lot of these big chains are looking for a new solution," Falzone said.
Chief Technology Officer and co-founder Chris Ciabarra said Revel does not hold customers' information in its database. Instead, it directly transmits encrypted credit card data from the iPad app.
"The only key to unencrypt it is with the processor," he said.
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Ciabarra also said that Revel's integration with the new Apple Pay "was pretty seamless."
"It's going to be the leader in mobile payments going forward," he added.