Blockchain analytics company raises $15 million to expand global AML solutions

CipherTrace, a blockchain analytics company that develops crypto security solutions including AML, forensics, and compliance, has raised a $15 million round led by Aspect Ventures and joined by other notable funds such as Galaxy Digital. The company will use the funds to grow its global presence and expand product features.

CipherTrace is known for its quarterly cryptocurrency AML reports and deep forensic expertise, counting numerous global stakeholders as clients, including government regulators, law enforcement investigators/auditors, cryptocurrency exchanges and financial institutions. The products are used to enforce AML laws and combat fraud, among other security threats.

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The company was founded in 2015 and received initial funding from the U.S. Dept. of Homeland Security's Science & Technology Division, as well as DARPA.

“Galaxy Digital is a CipherTrace customer and an investor,” Greg Wasserman, Co-Head of Principal Investments at Galaxy Digital said in a press release. “Appropriate AML technology is critical for the mainstream adoption of digital assets. Institutional investors are increasingly looking to platforms like CipherTrace to monitor the integrity of transactions with their counterparties.”

About Author

Ryan Todd is a research analyst at The Block where he focuses on the convergence of fintech and digital assets. Previously he worked at Deutsche Bank as an equity analyst covering consumer finance and payments companies, and also spent time at ConsenSys exploring the broader Ethereum ecosystem. Ryan holds a BS in Economics and Accounting/Finance from Florida State University, and MS Finance from Vanderbilt University.