Chainalysis, one of the world's largest crypto and blockchain intelligence firms, has reportedly raised $170 million in a Series F funding round led by GIC, a Singapore-based sovereign wealth fund.
The news was first reported by The Information, citing a person with direct knowledge of the matter.
Founded in 2014, Chainalysis provides software tools that allow government agencies, financial institutions and private companies, including crypto exchanges and wallet providers, to detect and prevent crypto-related crime and money laundering.
The source said that the fresh funding doubles Chainalysis’ valuation, bringing it to a whopping $8.6 billion, including the investment.
In March 2021, Chainalysis raised $100 million in a Series D funding round, propelling its valuation above $2 billion, followed by a $100 million Series E financing last June, which brought the crypto sleuthing firm’s valuation to $4.2 billion.
The total amount the firm raised to date is now standing at $536 million, per Crunchbase.
How Chainalysis Helps Catch Cryptocurrency Criminals
In 2014, the operators of the world’s largest cryptocurrency exchange, Mt. Gox, disclosed that hackers had drained 650,000 Bitcoin (worth about $500 million at the time). The ensuing chaos gave Michael Gronager, founder and CEO of Chainalysis, an idea: Since blockchain ledgers are public, what if someone created a tool that sifted through all of that data and traced the stolen money? So Gronager, then COO at Kraken, the crypto exchange that was supporting the Mt. Gox investigation, built one. Wi...
Chainalysis rolls out new tools
Earlier this year, Chainalysis launched two new tools—an on-chain oracle and a public API—to make it easier to screen crypto wallets for sanctions compliance.
“As countries around the world continue to leverage economic sanctions in response to Russia’s invasion of Ukraine, decentralized Web3 groups like DEXs, DeFi platforms, DAOs, and dapp developers are searching for lightweight tools to help them and their customers comply with sanctions policies,” Chainalysis said at the time.
While it normally offers commercial products, the New York-based firm stressed that these tools are being provided to industry participants at no cost.
Last month, Tornado Cash, a coin mixing tool for the Ethereum blockchain, revealed that it uses both Chainalysis’ oracle and API to prevent addresses sanctioned by the U.S. government from using the privacy app.
Crypto Sleuthing Firm Chainalysis Launches 'Sanctions Screening Tools' for DeFi, DAOs
Blockchain analytics company Chainalysis today announced the launch of two new tools that will make it easier to screen cryptocurrency wallets for sanctions compliance. The tools include an on-chain oracle, which is available today, and an API—an application programming interface that acts as a connection between computers—expected to launch next month. “As countries around the world continue to leverage economic sanctions in response to Russia’s invasion of Ukraine, decentralized Web3 groups l...
In February, Chainalysis and crypto journalist Laura Shin conducted a joint investigation into the movement of funds stolen during the infamous DAO hack in 2016, accusing Toby Hoenisch, co-founder and CEO of crypto debit card company TenX, of coordinating one of the industry’s largest hacking incidents.
Hoenisch, however, denied the allegations, saying that Shin’s "statement and conclusion is factually inaccurate."
