Today, blockchain analysis company, Chainalysis announced the addition of another $13 million to its funding pool. This has pushed the total investment figure to $49 million. What’s more interesting is Sigal Mandelker, the former Under Secretary for Terrorism and Financial Intelligence at the U.S. Department of the Treasury, joining the firm as an advisor.
According to reports, the blockchain watchdog raised another $13 million from Ribbit Capital and Sound Ventures, topping its Series B funding at $49 million. Chainalysis secured the other $36 million from Accel, Benchmark, MUFG, and Sozo Ventures last year.
The company wants the crypto industry to grow through cohesive partnerships between bureaucratic and law enforcement bodies and digital asset/blockchain companies. This money, as per the company, will be used to do precisely that.
By developing deeper relationships with government regulators, Chainalysis intends mainstream financial institutions to participate in the cryptocurrency space safely. The joining of Sigal Mandelkar as an advisor will provide a much-needed boost in this regard.
The U.S. Treasury sanctions chief has already desired an explicit interest in the same direction. Commenting on Chainalysis’ Series B expansion news, she said:
“Chainalysis has done terrific work providing blockchain analysis and tools to financial institutions, government agencies, and exchanges, while working to track, analyze, and disrupt illicit activity. As the digital assets industry continues to evolve and grow in positive ways, I’m excited to work with the Chainalysis team to help develop public-private partnerships, enhance ground-breaking technologies in financial services, and root out illicit networks.”
Mandelkar is not the first United States government official to enter the crypto industry. Former security advisor to President George W. Bush Juan Zarate is member of the Coinbase Board of Advisors.
Apart from this, the ex-chairman of the New York Department of Financial Services, Benjamin Lawsky, is a board member with Ripple. He has had ties with NYDIG, the New York-based investment management company that handles the ‘Bitcoin Strategy Fund.’
The U.S has largely remained on the sidelines as far as clarity in blockchain regulations is concerned. Despite the Air Force leveraging blockchain for communications, and the Food and Drug Administration using the technology for launching a pilot project, there has been no focused development on the regulations front.
An increasing number of public-private crypto associations implies that the scenario is about to change. Bureaucrats and law-making personnel advising/joining digital asset firms should motivate the U.S government to rapidly resolve regulations pertaining to the use of blockchain technology.
A bill titled The Advancing Blockchain Act has already been introduced by Representative Brett Guthrie on May 19. Let’s see if the bill can set things right and pave the way for massive crypto and blockchain adoption in the U.S.
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