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With CertiK’s wide variety of investors enabling its increasing value, its expansion over time is inevitable.
Crypto security firm CertiK has announced that it amassed $88 million in its B3 funding, pushing the company’s valuation to $2 billion. The cybersecurity firm, which is undisputedly a leading business in its sector, made the announcement on April 7th. The CertiK B3 funding series investors include Tiger Global, Goldman Sachs, Insight Partners, and Advent International. Previous investors such as Lightspeed Venture Partners and Sequoia Capital also participated, thereby adding up the value to $230 million. The firm is glad to add a new set of investors to the existing valuable ones.
CertiK B3 Funding Round Confirms its Growth
It is noteworthy that the CertiK B3 funding came barely three months after the blockchain security firm announced its B2 funding round. The B2 funding closed at $80 million to almost $1 billion valuation. The startup is expanding in the field, fast becoming a leading pioneer. With its deployment of world-class AI technology in monitoring blockchain and smart contracts, CertiK’s growth possibilities seem endless.
Demonstrably, investors allocate funds to businesses with the expectation of future financial returns. With CertiK’s wide variety of investors enabling its increasing value, its expansion over time is inevitable.
In its official publication, the company wrote that:
“CertiK’s growth has already been widely recognized by the industry through a number of awards. In March 2022, CertiK received awards for the CB Insights Blockchain 50 award – listed as the only blockchain security firm, and the Globee Awards – Cybersecurity Global Excellence Award. We are excited to receive these awards and can’t wait to be nominated for more, hopefully sometime in the near future.”
Increased Demand For CertiK’s Products and Services
Despite the amount of work put toward securing cryptocurrency wallets, they are still vulnerable to frequent attacks, phishing, and hacks. Interestingly, these disruptions further stir demand for pre-deployment code audits. CertiK has seen a need for blockchain security since 2021 due to hacks resulting in losses totaling $1.3 billion in cryptocurrency. So far, the loss estimated is at over $1 billion due to four major bridge attacks. These attacks involved Wormhole, Qubit Finance, Ronin Network, and Meter.io. Both bridge-style attacks and flash loans are on trend, and more attacks are expected. Regardless of the nosedive in the crypto market, CertiK’s 2022 Q1, year-to-date Web3 security revenue grew four times over.
In addition to blockchain security, CertiK has also seen demands in projects surrounding scams and rug-pulls. Further securing the cyber world, it launched its Know-Your-Customer (KYC) protocol and fraud investigation service this year. CertiK believes KYC is the missing link in most competitive offers for helping prevent malicious intent, i.e., rug-pulls, by owners of a project. Generally, CertiK aims to enable transparency for its community and build trust and awareness for its projects.
The high demand for CertiK’s services has updived its revenue, surging its profit margin by 3000 times, an increase of over 12 times since 2021. However, there are no details about the exact figures as co-founder Ronghui Gu maintained that CertiK is a private company.