Chainalysis continues to cement itself in the top realm of global blockchain analysis providers after a fourth round of funding led by Paradigm secured $100 million (£72m).
The company, now valued at over $2 billion (£1.45bn), also received increased investments from previous investors Ribbit and Addition, as well as Marc Benioff’s investment fund, TIME Ventures.
Chainalysis is used by government agencies to investigate crypto-based crime and leading digital exchanges to identify and freeze stolen cryptocurrency. According to CoinDesk, the FBI, Internal Revenue Service (IRS), Department of Homeland Security (DHS) and other federal offices spent more than $10m (£7.2m) on Chainalysis in 2020.
A day before announcing this new funding, Chainalysis announced a new partnership with Bluestone Analytics, a dark web intelligence firm, bringing a two-way integration between their two platforms.
Described as a ‘natural synergy’ by Bluestone Analytics CEO Liam Bowers, the partnership hopes to provide an analysis ecosystem that will enable organisations to pursue threat actors with seamless pivoting between the Bluestone Analytics’ DarkBlue Intelligence Suite and Chainalysis Reactor.
“Cryptocurrency is a vital piece to the way criminals operate on the dark web. Our partnership with Bluestone Analytics will empower federal agencies with more holistic insights into these covert networks,” said Chris Manouse, vice president of public sector at Chainalysis.
Having doubled its client base to include government agencies in over thirty countries and businesses in over sixty countries last year, Chainalysis intends to use this funding to expand their internal team and reach more clients.
“At Chainalysis we believe that eventually every company will use the blockchain to conduct their business,” said Michael Gronager, CEO at Chainalysis.
“We’ve collected more information about what happens on blockchains than anyone in the cryptocurrency industry. That information enables our customers to make better data-driven decisions. Our partners at Paradigm share our vision and understand that the data Chainalysis provides will enable accelerated adoption of cryptocurrency,” he added.
For an example of the highly skilled work and technical software utilised by Chainalysis, have a look at our article on its 2021 Crypto Crime Report.