Key takeaways:
- Web3 security provider CertiK has raised $88 million at a $2 billion valuation
- Rising revenue and profits are the reason for the doubling of the company’s valuation since January
- Newly-acquired capital will be used to enhance the company’s offering of data-driven security products and services
CertiK raises $88M at a $2B valuation to improve blockchain security
CertiK, a New York-headquartered blockchain security firm announced on Thursday it had raised $88 million in a Series B3 funding round from prominent investors, including Goldman Sachs, Insight Partners, and Advent International, to name a few.
The new round of funding saw the company reach a $2 billion valuation just three months after it had reached a $1 billion valuation in January, on the heels of its previous funding round.
According to a press release, the reason for the company’s rapid growth is the massive increase in revenue and demand for its services. In 2021 alone, the company saw a 12-fold increase in its revenue, which translate to a whopping 3,000-fold surge in its profits. The growth trend continued into the first quarter of 2022, during which the company’s revenue increased by an additional 400%.
The need for increased security, especially when it comes to DeFi and various Web3 services has never been more apparent. According to data from The Block, malicious actors have stolen more than $1 billion worth of crypto assets so far this year. A large share of the total amount can be attributed to a recent Ronin bridge exploit, which saw users lose more than $600 million in Ethereum and USD Coin.
CertiK CEO Ronghui Gu said in a statement that the growing number of rug-pulls underscores the importance of KYC when it comes to Web3 security. Gu added that the company’s focus lies in “Smart contract auditing and 24/7 monitoring of threats. “
The company has said the newly acquired capital will be used for the “development and operation of more innovative and data-driven security products.”
