Chainalysis raises $1.6 million to prevent digital currency crimes, establishes cooperation with Europol

According to Reuters, Chainalysis, a New York startup specializing in combating money laundering and fraud using digital currencies, has received $1.6 million in investment and established a partnership with Europol's European Cybercrime Center.

Nowadays, digital currencies such as Bitcoin are becoming more and more popular, and more and more online payment mechanisms have been established. On the one hand, it provides convenience for consumers to remit money, but on the other hand, it also gives criminals an opportunity to use these emerging technologies to commit fraud and extortion when legal supervision is not yet mature.

A few months ago, it was reported that three Greek banks were extorted 20,000 bitcoins by hackers. Recently, a hospital in California had to pay a ransom of $17,000 to hackers in order to restore the system as soon as possible after its network system was hacked. Regarding this matter, Jonathan Levin, co-founder of Chainalysis, said: "The public nature of the Internet also provides an angle for law enforcement agencies to combat cybercrime, but it is a cat and mouse game."

Chainalysis CEO迈克尔•格罗纳杰said in a statement:

“This new collaboration is about preventing digital currencies from being used by criminals and instead enabling them to benefit consumers and the economy.”

Last year, Europol released a report showing that cybercrime is on the rise, with criminals taking advantage of cloud computing infrastructure and often extorting victims for Bitcoin.

Chainalysis aims to combat cybercrime by tracking digital identities linked to digital currencies. The company’s software instantly detects suspicious behavior and provides investigative tools for law enforcement operations.

Chainalysis said the $1.6 million round was led by Point Nine Capital, an early-stage venture capital firm based in Berlin.

TechStars, Digital Currency Group, FundersClub and Converge Venture Partners also participated in the round. These companies are active investors in the Bitcoin and blockchain space. TechStars has invested in blockchain company Filament. FundersClub has invested in Bitcoin companies Coinbase and Purse.io, and recently invested in Bitcoin service provider Simplex.

Original article: http://www.reuters.com/article/us-cyber-chainalysis-idUSKCN0VR27H
By Bill Rigby
Translator: printemps
Editor: printemps
Source (translation): Babbitt Information (http://www.8btc.com/chainalysis-160)