Blockchain Security Firm CipherTrace Gets $15M USD Investment

Innovation, Investing, News | February 19, 2019 By:

Blockchain security company CipherTrace has gained $15 million in venture capital financing led by Aspect Ventures, and includes contributions from Galaxy Digital, Neotribe Ventures, and WestWave Capital. Aspect’s Mark Kraynak will join the CipherTrace board of directors.

CipherTrace develops cryptocurrency intelligence, anti-money laundering (AML), blockchain analytics and forensics, and compliance solutions. These products are used by government, regulators, law enforcement investigators and auditors to enforce AML laws, combat crime and reduce fraud. Cryptocurrency exchanges also use the platform to comply with AML laws. Banks use CipherTrace to mitigate threats related to customer cryptocurrency activity.

CipherTrace blockchain analytics de-anonymize funds flow by actively gathering millions of data points weekly, and then applying machine learning to its massive data pool to trace flows to legitimate entities as well as criminal enterprises. The team at CipherTrace first began tracking bitcoin criminal activity in 2011.

“CipherTrace is pleased to announce this strong backing from top-tier investors who share our vision that cryptocurrencies and blockchains need to be secured, regulated, and made safe so that they can scale globally,” said David Jevans, CipherTrace CEO. “Our investors have decades of experience investing in proven teams and technology companies in the Internet security and financial technology industries. CipherTrace will join the ranks of these successful companies.”