Chainalysis Raises $13 Million In Series B; Trump’s Former US Treasury Official Joins As An Adviser
Chainalysis’ Series B funding rises to nearly $50 million after recent capital injection of $13 million funding round led by government-affiliated Ribbit Capital and Sound Ventures and Ashton Kutcher led firm. The blockchain analysis firm, which recently announced the addition of privacy coins support, aims to foster the public-private partnership with the latest funding.
The key to this in this partnership? Sigal Mandelker, General Partner at Ribbit Capital, who joins Chainalysis in an advisory role. Mandelker formerly worked Under Secretary for Terrorism and Financial Intelligence at the U.S. Department of the Treasury, in Trump’s administration.
Doubling down on government surveillance
The latest move, according to the press release, is set to improve overall U.S. government surveillance on blockchains in a bid to stop money laundering and counter-terrorism financing using digital assets.
“When law enforcement and regulators become comfortable with cryptocurrency, exchanges can grow, and financial institutions can enter the ecosystem safely and responsibly,” the statement reads.
Chainalysis, aims to provide a clean digital asset environment to both government partners and multiple crypto-focused businesses. Including exchanges and providing crypto custodians with data, software, and expertise on sophisticated cryptocurrency crime and money laundering tactics, techniques, and procedures.
“Chainalysis is founded on the belief that providing data insights into cryptocurrency activity will unite government agencies, exchanges, and financial institutions to fuel the industry's growth,” said Michael Gronager, CEO and Co-Founder, Chainalysis.
Former government official joins Chainalysis
Mandelker is one of the highest-ranking officials involved in spotting and convicting top digital crimes in the United States, even before the birth of Bitcoin. She was involved in shutting down an illegal digital currency platform, ‘E-Gold,’ back in 2008, and has also been engaged in tracing illegal crypto payments and transactions made from North Korea.
Speaking on the recent investment on Chainalysis, joining the Chainalysis advisory firm and the efforts the blockchain analysis firm in fostering the public-private partnerships, Sigal said,
“I'm excited to work with the Chainalysis team to help develop public-private partnerships, enhance ground-breaking technologies in financial services, and root out illicit networks. Chainalysis has done terrific work providing blockchain analysis and tools to financial institutions, government agencies, and exchanges while working to track, analyze, and disrupt illicit activity.”
The blockchain surveillance firm raised a total of $30 million in February 2019 in a successful Series B round led by VC firm, Accel and Benchmark, which also participated in the Series A funding. An extended Series B funding round led by Japanese investors MUFG Bank and Sozo Ventures to further expand in Asia Pacific countries and build trust among financial institutions, cryptocurrency businesses, and governments.