Popular cryptocurrency operator Coinbase has acquired Neutrino, a blockchain analytics startup based in Europe. “Today we’re announcing that Coinbase has acquired Neutrino, a blockchain intelligence platform,” a Coinbase blog published on Tuesday, Feb. 19 read.
Neutrino is a blockchain intelligence with a special focus on security and compliance. Founded in 2016 has a team of about 10 persons boasts experience in technology exploitation and intelligence gathering.
Its flagship solution, the XFlow nSight allows cryptocurrency firms to monitor, analyze, and track cryptocurrency flows across multiple blockchains in real time. According to information on its website, it has special features to support compliance procedures by assessing the KYC/AML risk of crypto-financial assets.
In the blog, Coinbase Engineering Director Varun Srinivasan explained that Neutrino as part of Coinbase will help the exchange bring more cryptocurrencies and features to more people while helping ensure compliance with local laws and regulations.
“Neutrino’s technology is the best we’ve encountered in this space, and it will play an important role in legitimizing crypto, making it safer and more accessible for people all over the world.”
Coinbase says its latest acquisition will move to its UK office but will continue to operate as a standalone organization. Neither party disclosed how much the Coinbase paid for the deal.
Neutrino CEO Giancarlo Russo explained that the deal with Coinbase is a step in the right direction as the firm continues to build on its solutions for compliance with regulatory bodies.
“We decided to join Coinbase because we’re totally aligned with the company’s mission of building an open financial system and we share the same commitment to regulation, compliance, and security in the cryptocurrency space.”
Recently, Israeli blockchain analytics firm Whitestream claimed that it identified Coinbase wallet addresses used to raise funds for military-political group Hamas proscribed as a terrorist organization by the U.S. Although there is no clear indication that the incident necessitated the acquisition, Srinivasan did point out that the firm will help Coinbase prevent bad actors.
“By analyzing data on public blockchains, Neutrino will help us prevent theft of funds from peoples’ accounts, investigate ransomware attacks, and identify bad actors.”