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The $88 million fundraise that CertiK blockchain security firm just recorded shows resonance with the broader trend in the digital currency ecosystem.
Blockchain security platform CertiK has raised approximately the sum of $88 million from as many as 15 investors according to a regulatory filing lodged with the United States. While the details of the funding were not shared, the regulatory filing indicated that the funding round kickstarted on March 23 with the offering amount pegged at exactly $87,999,975.
CertiK like its security peers occupies a very pivotal position in the digital currency ecosystem. Despite the fact that blockchain systems are adjudged to be relatively secure, many cybercriminals have continued to find loopholes in them. Of particular importance are the latest hacks of a number of Decentralized Finance (DeFi) platforms with the most recent being that of the Ronin Network, the home of the popular Axie Infinity game, with a total of about $625 million lost.
CertiK has developed a solution dubbed Skynet which it uses to detect and prevent attacks on the blockchain protocols or platforms it is contracted to protect. The Skynet product can scan the blockchain’s codes, access on-chain data, and detect risks and frauds with a special sensitivity toward smart contracts platforms.
Additionally, CertiK brandishes a LeaderBoard in which blockchain protocols can know where they stand with respect to their security frailties and in comparison with other prominent blockchain networks. While the reasons for raising the $88 million are yet unknown, it gives room for speculations in that the startup may want to build out more innovative and targeted products as the DeFi ecosystem is consistently under the siege of attackers.
The funding rounds follow a related capital pullback in December in which the firm raised $80 million at a $1 billion valuation at the time. The December round was led by Sequoia Capital China and came as the firm’s third financing round at the time with one conducted back in July in which it raised $37 million in Series B funding.
Blockchain Security CertiK Riding on Investors’ Interest
The $88 million fundraise that CertiK blockchain security firm just recorded shows resonance with the broader trend in the digital currency ecosystem in which Venture Capital investors are now backing innovative protocols in the industry with massive funds.
Based on this hyped interest amongst investors, a special emphasis is now being placed on security platforms, as their business model remains something developers cannot do without. As reported by Coinspeaker, Chainalysis, a data analytics company also raised the sum of $100 million back in June last year to increase its valuation to $4.2 billion.
Blockchain security firms need all of the funding they can get in order to help in managing the threats to the general adoption of blockchain solutions for fear of getting exploited by cybercriminals.