Founded Year

2015

Stage

Acquired | Acquired

Total Raised

$45.13M

About CipherTrace

CipherTrace enables the blockchain economy by protecting cryptocurrency companies and financial institutions from security and compliance risks. This visibility into the blockchain and virtual asset businesses helps protect banks and exchanges from cryptocurrency laundering risks while protecting user privacy. CipherTrace also works with government agencies to bridge the gaps between regulation and the world of cryptocurrencies and blockchain.On September 9th, 2021, CipherTrace was acquired by Mastercard. The terms of the transaction were not disclosed.

CipherTrace Headquarter Location

140 Victory Lane

Los Gatos, California, 95030,

United States

650-542-0020

CipherTrace's Product Videos

ESPs containing CipherTrace

The ESP matrix leverages data and analyst insight to identify and rank leading companies in a given technology landscape.

EXECUTION STRENGTHMARKET STRENGTHLEADERHIGHFLIEROUTPERFORMERCHALLENGER
Financial Services / Payments Tech

These companies monitor blockchains and cryptocurrency transactions to ensure compliance, combat fraud, and reduce financial crime. They serve crypto businesses, financial institutions, payment providers, digital wallets, and government agencies.

CipherTrace named as Leader among 8 other companies, including Chainalysis, Elliptic, and Coinfirm.

Predict your next investment

The CB Insights tech market intelligence platform analyzes millions of data points on venture capital, startups, patents , partnerships and news mentions to help you see tomorrow's opportunities, today.

CipherTrace's Products & Differentiation

See CipherTrace's products and how their products differentiate from alternatives and competitors

  • Armada

    CipherTrace Armada, a cryptocurrency data feed, identifies Virtual Asset Service Providers (VASPs) and enables due diligence on VASPs through automated transaction matching systems. Armada data feeds enable the ability to link payments to high risk VASPs and crypto MSBs.

    Differentiation

    Armada features off-the-shelf integration with leading AML software, including NICE Actimize, Caseware Alessa, Featurespace, and BAE Systems simplifies integration and shortens deployment time. Ciph… 

    actionable threat intelligence for cyber security operations. 

    Armada provides names, beneficial ownership, ransomware, 

    dark market, CSAM, and sanctioned entity information as it 

    relates to cryptocurrency transactions involving bank customers. 

    Armada also provides telemetry on bank account and IP addresses 

    related to cryptocurrency businesses and malign actors. This 

    informs threat intelligence teams and provides important pivot 

    points in fraud and financial crimes investigations. 

  • Subscribe to see more

    We're on a mission to enable every organization to make smarter decisions about tech. Whether it's finding a new game-changing vendor or understanding a new market, it's easier, faster and smarter with CB Insights. All made possible by the smartest, hardest-working team in tech. Subscribe to see more.

    Differentiation

    We're on a mission to enable every organization to make smarter decisions about tech. Whether it's finding a new game-changing vendor or understanding a new market, it's easier, faster and smarter with CB Insights. All made possible by the smartest, hardest-working team in tech. Subscribe to see more.

  • Subscribe to see more

    We're on a mission to enable every organization to make smarter decisions about tech. Whether it's finding a new game-changing vendor or understanding a new market, it's easier, faster and smarter with CB Insights. All made possible by the smartest, hardest-working team in tech. Subscribe to see more.

    Differentiation

    We're on a mission to enable every organization to make smarter decisions about tech. Whether it's finding a new game-changing vendor or understanding a new market, it's easier, faster and smarter with CB Insights. All made possible by the smartest, hardest-working team in tech. Subscribe to see more.

  • Subscribe to see more

    We're on a mission to enable every organization to make smarter decisions about tech. Whether it's finding a new game-changing vendor or understanding a new market, it's easier, faster and smarter with CB Insights. All made possible by the smartest, hardest-working team in tech. Subscribe to see more.

    Differentiation

    We're on a mission to enable every organization to make smarter decisions about tech. Whether it's finding a new game-changing vendor or understanding a new market, it's easier, faster and smarter with CB Insights. All made possible by the smartest, hardest-working team in tech. Subscribe to see more.

  • Subscribe to see more

    We're on a mission to enable every organization to make smarter decisions about tech. Whether it's finding a new game-changing vendor or understanding a new market, it's easier, faster and smarter with CB Insights. All made possible by the smartest, hardest-working team in tech. Subscribe to see more.

    Differentiation

    We're on a mission to enable every organization to make smarter decisions about tech. Whether it's finding a new game-changing vendor or understanding a new market, it's easier, faster and smarter with CB Insights. All made possible by the smartest, hardest-working team in tech. Subscribe to see more.

Expert Collections containing CipherTrace

Expert Collections are analyst-curated lists that highlight the companies you need to know in the most important technology spaces.

CipherTrace is included in 7 Expert Collections, including Banking.

B

Banking

738 items

R

Regtech

1,609 items

Technology that addresses regulatory challenges and facilitates the delivery of compliance requirements in FIs. Regulatory technology helps FIs and regulators address challenges ranging from traditional compliance and risk management to data reporting and transmission.

B

Blockchain

4,676 items

Companies and startups in this collection leverage blockchain technology for crypto trading, decentralized finance (DeFi), NFTs, and more.

C

Cyber Defenders

28 items

Our selected startups are early- to mid-stage high-momentum companies pioneering technology with the potential to transform cybersecurity.Unicorns valued at $1B+, companies that have raised funding past the Series C stage, and companies that have not raised funding since 2017 are

C

Cybersecurity

4,937 items

F

Fintech

7,442 items

US-based companies

CipherTrace Patents

CipherTrace has filed 7 patents.

The 3 most popular patent topics include:

  • Blockchains
  • Cryptocurrencies
  • Alternative currencies
patents chart

Application Date

Grant Date

Title

Related Topics

Status

1/18/2019

2/15/2022

Cryptocurrencies, Blockchains, Cryptography, Key management, Computer security

Grant

Application Date

1/18/2019

Grant Date

2/15/2022

Title

Related Topics

Cryptocurrencies, Blockchains, Cryptography, Key management, Computer security

Status

Grant

Latest CipherTrace News

What Coinbase’s Partnership With ICE Says About Bitcoin Surveillance

Jul 14, 2022

To privacy advocates and cryptocurrency compliance professionals, the existence of these features is unsurprising. Chainalysis, CipherTrace, Elliptic and other blockchain analysis firms have sold similar services for many years. Per the chart below, ICE has purchased licenses from Chainalysis since 2016. Source: Author, using USAspending.gov data. The scale of blockchain surveillance that was once shrouded from public view is now becoming widely known. Chainalysis , CipherTrace , Elliptic and Coinbase all tout their compliance tool offerings. Chainalysis offers Reactor for regulators and investigators, KYT (“know your transaction”) for automated compliance screening of addresses and transactions, Kryptos for high-level vetting, Market Intel for researchers and investors, Business Data for exchanges to track their customers’ activities for business development, and Crypto Incident Response for victims of ransomware and other threats. Blockchain surveillance data is being sold for compliance, research, investment and marketing purposes by the same company. And there are dozens of other companies that sell similar data for other purposes. The ICE Fallout Following a wave of negative press after the details of Coinbase’s contract with ICE were released, the exchange reiterated that it “does not sell proprietary customer data,” and that “Coinbase Tracer sources its information from public sources, and does not make use of Coinbase user data. Ever.” I’ll accept Coinbase’s claims on the surface, but even if true, it is still sharing customer data with the U.S. government. Your ‘Proprietary’ Data Is Probably Already Shared, Secretly Coinbase is required by law to submit Suspicious Activity Reports (SARs) to the Financial Crimes Enforcement Network (FinCEN) if it believes certain activities are suspicious. These reports can include customer information such as names, physical addresses and even cryptocurrency transaction and address data, if applicable. BitAML, a compliance consulting company focused on anti-money laundering (AML) regulation, has a guide for submitting cryptocurrency-related SARs on its website , which you can use to get a feel for the information that bitcoin exchanges commonly submit. SARs can be filed for all sorts of things, including situations where a customer refuses to comply with information requests. Banks file Currency Transaction Reports (CTRs) for all daily cash deposits or withdrawals over $10,000. CTRs are not currently required for cryptocurrency transfers (e.g., withdrawals of $20,000 in BTC from an exchange platform), but FinCEN has pushed for these in the past . It’s likely that CTRs will be required for cryptocurrencies (as they allow users to hold their private keys and their ability to spend the coins, thus making them bearer instruments, like cash) in the near future. I can’t speak for Coinbase or whether it has submitted any CTRs, but Coinbase or other bitcoin exchanges may have already sent your information to FinCEN if you have deposited or withdrawn more than $10,000 in BTC via their platforms in a single day. If Coinbase’s blockchain monitoring or compliance tools indicate that some bitcoin transaction on its platform is suspicious, it’s reasonable to expect that the exchange has submitted a SAR. ICE can easily use the blockchain analysis tool to find suspects of what it deems “financial crimes,” and then check to see if Coinbase or other exchanges have submitted SARs on those users. Coinbase may not directly share customer data with ICE, but they share customer data where required with FinCEN, which can share it with ICE. So it stands to reason that ICE is very much using the Coinbase tracing tool to help track and learn the identity of certain Coinbase customers. You will not get a notice that your information is shared in a SAR. SARs are explicitly required to be secret . Exchanges and banks are prohibited from notifying you. Depressingly, as mandatory filings , none of this mass data collection requires a warrant. Your ‘Proprietary’ Data Is Public People should understand that the only truly “proprietary” information to Coinbase is the information you share directly with it. When you deposit and withdraw cryptocurrencies, you create public records that are usually trivially traced. If you withdraw bitcoin from Coinbase to your noncustodial wallet, Coinbase’s tool will likely show that transaction leaving Coinbase. IP address surveillance is a large industry on its own. Bitcoin nodes are ultimately public servers. When you send bitcoin, the transaction needs to make its way into a public database. Companies run Bitcoin nodes to collect the first IP address they can find associated with a transaction . In many cases, this gives these companies a good idea of your rough geographical location and sometimes even your home IP address. That’s right: your home IP address, your wallet addresses and every transaction you ever make can be public information that is analyzed, packaged nicely and sold as tools to law enforcement. Per USAspending.gov, ICE alone has gotten access to these by issuing contracts currently valued at $6 million. The FBI and IRS have issued contracts to four analysis companies for $13.5 million and $17 million, respectively. The FBI contracts have a potential total value of over $40 million. Across all of these agencies and others, the cost to taxpayers could be as high as $79 million. Anger Against Coinbase Isn’t The Solution You may be angry with Coinbase at this point. Don’t be. Well, at least don’t just be angry at it. Chainalysis has made a lot more money from ICE and other agencies over the years that Coinbase has, and if Coinbase didn’t sell ICE this tool, ICE could build it itself. So you should really be angry at blockchains that enable the mass surveillance of all this transaction information, and be angry at the warrantless mass surveillance afforded with SARs and CTRs. So, what do we do from here? It takes three things to enable better Bitcoin privacy: Set the record straight about the usefulness of these tools. They enable mass surveillance on nearly everything you do with your bitcoin. Stop beating around the bush and accept that a privacy problem exists for the 12 listed blockchains (including Bitcoin’s and Ethereum’s), as well as nearly all others. Incorporate meaningful and significant changes to break these tools. Hide the IP addresses being used to broadcast transactions better with tools like Dandelion++. Hide the amounts, addresses and transaction graphs. Bitcoin needs better default privacy protections to circumvent this mass surveillance. It’s almost impossible to kill these tools completely, but we can meaningfully reduce their surveillance scope by following Monero’s footsteps, for instance, of enabling sane privacy defaults across the board, not just for users of a niche tool. Stop using regulated entities that need to report SARs and CTRs. Using a noncustodial wallet to send more than $10,000 in bitcoin could prevent your information from being shared automatically. Why Does This Matter? Bitcoin proponents have championed the usefulness of BTC for remittances to El Salvador and other countries. Bitcoin is certainly useful in many of these circumstances. However, many migrant workers are going to be scared off by Bitcoin’s transparency and the millions of dollars being poured into tracing Bitcoin transactions annually. It’s harder for ICE to target individual users of the traditional, centralized remittance system than it is for ICE to observe every single bitcoin payment to find many going to El Salvador exchanges, IP addresses and services. Migrant workers often escape dangerous situations back home. Regardless of your political views on immigration, one should understand how someone in this situation would take great caution in protecting their privacy for fear of being deported. Sadly, Bitcoin doesn’t protect the privacy of the vast majority of its users very well. Suppose El Salvador was to take the extreme (though very unlikely) step of requiring remittances in itcoin. Would this be a net positive, breaking people away from centralized and regulated institutions that profit heavily off of the world’s poor? Or would this be a net negative, since one, most people will use regulated platforms to buy and sell bitcoin with fees anyways, and two, the vast majority of people will be surveilled by enemy actors (from the perspective of illegal immigrants) on the transparent blockchain? The answer isn’t straightforward; there are positives and negatives, and Bitcoin will be the preferred option for some people. Still, I hope that loud voices in the Bitcoin community understand the challenges and risks associated with ICE watching every transaction, and that they loudly advocate for better default privacy protections on Bitcoin to protect the users they say Bitcoin was made for. This is a guest post by Justin Ehrenhofer. Opinions expressed are entirely their own and do not necessarily reflect those of BTC Inc or Bitcoin Magazine. Tags

CipherTrace Web Traffic

Rank
Page Views per User (PVPU)
Page Views per Million (PVPM)
Reach per Million (RPM)
CBI Logo

CipherTrace Rank

  • When was CipherTrace founded?

    CipherTrace was founded in 2015.

  • Where is CipherTrace's headquarters?

    CipherTrace's headquarters is located at 140 Victory Lane, Los Gatos.

  • What is CipherTrace's latest funding round?

    CipherTrace's latest funding round is Acquired.

  • How much did CipherTrace raise?

    CipherTrace raised a total of $45.13M.

  • Who are the investors of CipherTrace?

    Investors of CipherTrace include Mastercard, Neotribe Ventures, Aspect Ventures, Third Point Ventures, WestWave Capital and 4 more.

  • Who are CipherTrace's competitors?

    Competitors of CipherTrace include Merkle Science and 7 more.

  • What products does CipherTrace offer?

    CipherTrace's products include Armada and 4 more.

  • Who are CipherTrace's customers?

    Customers of CipherTrace include Binance.

You May Also Like

Coinfirm Logo
Coinfirm

Coinfirm is a blockchain technology company focused on compliance as a service. The start-up's platform provides data to bring transparency and security to blockchain transactions, while addressing AML/CTF/Sanctions and counterparty risk management problems.

TRM Labs Logo
TRM Labs

TRM Labs has built a platform designed specifically to streamline on-chain AML compliance for digital asset companies, saving them time and reducing risk. The TRM platform includes solutions for on-chain customer due diligence, transaction monitoring, and customer relationship management.

Chainalysis Logo
Chainalysis

Chainalysis offers cryptocurrency investigation and compliance solutions to government agencies, exchanges, financial institutions, and insurance and cybersecurity companies globally. Its products include Chainalysis Business Data, on-chain customer intelligence for cryptocurrency businesses; Chainalysis KYT, an automated cryptocurrency transaction monitoring software; and Chainalysis Kryptos, a reference directory for cryptocurrency services' on-chain activity. The company also offers Chainalysis Maket Intel that provides on-chain metrics on the trading, demand, supply, generation, and risk of cryptocurrencies and Chainalysis Reactor, an investigation software for tracking flow of funds across blockchains. Chainalysis was founded in 2014 and is based in New York, New York

Solidus Labs Logo
Solidus Labs

Solidus Labs specializes in the crypto-native triple T (T3) market integrity solutions: trade surveillance, transaction monitoring, and threat intelligence. Its mission is to enable safer crypto trading throughout the investment journey across all centralized and DeFi markets. The company was founded in 2017 and is based in New York, New York.

Scorechain Logo
Scorechain

Scorechain is building a Big Data infrastructure and services to offer valuable high-level information to business bitcoin stakeholders. The company provides deep analysis and exploration of the Blockchain with interactive graphs visualization.

Merkle Science Logo
Merkle Science

Merkle Science seeks to promote the ideology of blockchain by enabling stakeholders in the ecosystem to detect and prevent criminal activity and financial crime. It provides the infrastructure to help blockchain companies, crypto-exchanges, investment funds, banks, and regulators perform due diligence on the blockchain. Merkle Science was founded in 2018 and is based in Singapore.

Discover the right solution for your team

The CB Insights tech market intelligence platform analyzes millions of data points on vendors, products, partnerships, and patents to help your team find their next technology solution.

Request a demo

CBI websites generally use certain cookies to enable better interactions with our sites and services. Use of these cookies, which may be stored on your device, permits us to improve and customize your experience. You can read more about your cookie choices at our privacy policy here. By continuing to use this site you are consenting to these choices.