Focused on institutional investors blockchain startup Fireblocks received investments in the amount of $16 million in round of series A funding from venture capital firm Tenaya Capital, Fund Cyberstarts and units Fidelity International called Eight Roads. It is reported by CoinDesk.
The startup is developing a cloud platform to protect crypto-currency translation during their movement from various risks — from theft of the private keys to spoofing.
«Despite the fact that the assets on the basis of the blockchain themselves cryptographically secure, moving them is a nightmare. After interviewing more than a hundred institutional clients, including hedge funds, broker-dealers, exchanges and banks, we came to the conclusion that the current process is slow and extremely vulnerable to cyber attacks and human errors,» said co-founder Michael Shilov Fireblocks.
The attracted investments the company plans to invest in the development of the platform infrastructure. So, the service will use multiple levels of security, and working with financial services companies such as Fidelity, will be able to customize the access level of its employees and traders to various services on the platform.
The decision Fireblocks are already using scriptbank Mike Novogratz Galaxy Digital and OTC Global Trading platform Genesis, who used it for translation of digital assets between exchanges, wallets OTC brokers, hot and cold wallets.
In addition, with the company already employs 15 cryptocurrency exchanges, and its services support more than 180 digital assets.
The start-up representatives claim that through Fireblocks already passed transactions on hundreds of millions of dollars in the cryptocurrency.
Recall Corporation Fidelity Investments, under which there are funds of $7.2 trillion, gradually becoming more immersed in the world of digital assets. So, for more than six months, the company is engaged in developing its own cryptocurrency platform.
In early may, the media reportedthat Fidelity Investments will launch trading bitcoin for large investors within a few weeks.