Elliptic receives $5 million in funding, illegal Bitcoin transactions may face a nemesis

Elliptic, a UK-based startup that monitors bitcoin transactions, has raised $5 million in funding from prominent venture capital firms and angel investors.

The company aims to investigate illegal activity conducted on the Bitcoin blockchain and provide actionable intelligence to financial institutions and law enforcement agencies.

James Smith, one of the co-founders of Elliptic, said that the company's software has been based on artificial intelligence technology to explore suspicious transactions and activities on the Bitcoin blockchain network. The Elliptic platform can be used by online exchanges and law enforcement agencies to detect abnormal transactions and track the source of these transactions.

The main criticism of Bitcoin and its transactions is anonymity. Bitcoin network transactions are essentially opaque. Despite this, many criminals use Bitcoin to launder money when making international remittances. With sophisticated tools and blockchain explorers, Elliptic can trace the source of some transactions, making it possible for government agencies and law enforcement to track the initiators of transactions. Eliminating fraudulent transactions and money laundering attempts may make the Bitcoin network a more reliable and secure payment network.

It is reported that the lead investor in this $5 million financing round is Kenneth Minihan, managing director of Paladin capital, who once served as director of the National Security Agency.

“Elliptic is a blockchain game changer that has been trusted by the brightest minds in law enforcement. The company’s surveillance capabilities will be an important component of any blockchain in the future, and we will help Elliptic expand in the U.S. through our connections and understanding of U.S. law enforcement and government agencies.”

It is reported that as early as 2014, Elliptic had received $2 million in financing from Octopus Investments. This round of financing has brought the company's total financing to $7 million. In the next few months, the company will focus on the development and promotion of Bitcoin transaction identification software to reduce criminal and illegal activities on the Bitcoin blockchain.

Original article: http://www.newsbtc.com/2016/03/20/elliptic-raises-us5m-detect-suspicious-bitcoin-transactions/
By Joseph Young
Translator: Overnight porridge
Source (translation): Babbitt Information (http://www.8btc.com/elliptic-raises-5m)