Firm That Helps Identify the Use of Crypto for Terrorism Raises $23 Million

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Firm That Helps Identify the Use of Crypto for Terrorism Raises $23 Million

Crypto risk management firm, Elliptic, on Wednesday, announced that it has raised a $23 million Series B funding and will improve its presence with the increasing demand for its services in global markets.

A Successful Series B Funding Round for Elliptic

The round was led by SBI Group, a financial services and asset management company, a Tokyo-based erstwhile subsidiary of Soft Bank. Also joining as a new investor this round is London-based AlbionVC. Existing investors which include SignalFire, Octopus Ventures, and Santander Innoventures took part as well. Tomoyuki Nii of SBI Group and AlbionVC’s Ed Lascelles are also joining Elliptic’s board. According to Dr. James Smith, co-founder, and CEO of Elliptic,

“Elliptic’s work to enable trust, transparency, and accountability within the industry has played a critical role in the push beyond cryptocurrency’s experimental phase,” “This new investment will allow us to double down on our mission to enable the crypto industry to grow and take shape.”

According to the announcement, the firm plans to expand its investments in Asia. Elliptic noted that the revenue generated from its Asian clients has increased significantly in the past few years. Therefore, the risk management firm plans to open a new branch in Japan and Singapore in order to boost its business in the continent.

Elliptic Has Raised $35 Million Till Date

Elliptic was founded in 2013 and it raised a $5 million Series A funding in 2016. Crunchbase noted that the firm has raised $35 million till date. After launching in 2013, Elliptic went ahead to develop machine learning tech designed to screen transactions in order to identify suspicious patterns and, through them, nefarious transactors. The firm makes profits offering services to crypto companies to reduce the risks of frauds and illegal transactions by monitoring transactions with its proprietary system.

Crypto data management is just one area of illegal activity that the firm’s platform solves. It also tracks people involved in trading child pornography and drugs, as well as hacks that result in funds being stolen. Elliptic, with its services that are of great value to financial services businesses and regulators, is contributing to enhancing the security aspect of the crypto space.

Elliptic’s Partnership With Coinbase Dissolved

Elliptic was a former Coinbase data manager. Their partnership was dissolved amid allegations from an Executive at Coinbase that Elliptic was selling the exchange’s customer data to third parties. Elliptic, at the time denied such allegations and claimed it had no access to Coinbase’s customer’s information.

“Our investment in Elliptic is a further commitment to this belief and to SBI Group’s appetite to help build the digital asset-related ecosystem,” Yoshitaka Kitao, CEO of SBI Group, added.

“Elliptic’s pioneering approach is enabling the transparency, integrity, and trust necessary for this vision to become reality. We are seeing a growing demand for their services across our portfolio of crypto-assets related companies and view Elliptic as best-placed to meet this considerable opportunity.”

Summary
Firm That Helps Identify the Use of Crypto for Terrorism Raises $23 Million
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Firm That Helps Identify the Use of Crypto for Terrorism Raises $23 Million
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Elliptic Raises $23M To Reduce Crypto Risk, Targets Growth In Asia
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Author: Dare Shonubi

Staff writer at Coingape. Certified cryptocurrency expert and Blockchain journalist covering crypto market analysis and general Blockchain adoption and development.
You can follow me on Twitter at @ShonubiDare or reach out to me at dare[at]coingape.com

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Dare Shonubi 184 Articles

Staff writer at Coingape. Certified cryptocurrency expert and Blockchain journalist covering crypto market analysis and general Blockchain adoption and development.
You can follow me on Twitter at @ShonubiDare or reach out to me at dare[at]coingape.com

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