Crypto Tracer Chainalysis Raises $13M as It ‘Doubles Down’ on Government Ties
As part of the deal, the crypto tracing firm adds Ribbit Capital General Partner Sigal Mandelker as an advisor. (CoinDesk archives)
Crypto Tracer Chainalysis Raises $13M as It ‘Doubles Down’ on Government Ties
Cryptocurrency intelligence firm Chainalysis said Tuesday that it has raised $13 million in additional Series B financing from Ribbit Capital and Sound Ventures, bringing its total for the round to $49 million.
- As part of the deal, the New York City-based company, which builds software that traces crypto transactions, is adding Ribbit Capital General Partner Sigal Mandelker as an advisor. Mandelker is a former high ranking Treasury Department official.
- Chainalysis said the new investments will help it “grow and deepen its government relationships.” America’s federal agency alphabet soup frequently inks seven-figure software licensure deals with Chainalysis: The IRS and SEC have together shelled out nearly $2 million in the past two months alone.
- There are signs that Chainalysis’ tracing tools are growing beyond the U.S. government as well. Reactor, its flagship investigative product, increased its revenue from new government customers by 400% since 2019, according to the company.
- Chainalysis has found more success plugging into the massively lucrative public sector money funnel than any other tracing firm. But the crypto analytics competition is growing: Coinbase closed its first U.S. government deal (with the Secret Service) in May.
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