Coinbase has acquired blockchain analytics startup Neutrino as part of a wider push to offer more diverse crypto assets across borders.
Srinivasan said this acquisition will help Coinbase research new assets while simultaneously ensuring the cryptocurrency exchange can identify undesirable activity, like theft, without handing over internal information to external companies.
The move comes just a few weeks after Israeli blockchain analytics firm Whitestream identified a Coinbase account that was funneling bitcoin donations to the Palestinian military-political group Hamas, which the U.S. government deems a terrorist organization.
Coinbase declined to comment on this incident and Srinivasan said the Neutrino acquisition was already in the works for some time.
"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."
Plus, Neutrino's European connections could help Coinbase gain a foothold in that region.
While Coinbase was busy acquiring Neutrino, Chainalysis raised a $30 million Series B and opened a new office in London, preparing to expand even further into the European market now that the European Union's Fifth Anti-Money Laundering Directive is expected to inspire new compliance requirements in several countries.
Coinbase has a significant amount of historical data that could help differentiate Neutrino from younger analytics startups.
Overall, Srinivasan said Coinbase is looking to become the "Google of crypto" with "Many different products" across the sector.
"If we see a really great team that's built a really great product, like Neutrino, for example, you'll see us go out and talk to them and try to bring them into the Coinbase family to extend the suite of products that we have," Srinivasan said.
Coinbase Acquires Blockchain-Tracking Startup Neutrino for Undisclosed Price
Published on Feb 19, 2019
by Coindesk | Published on Coinage
Coinage
Recent News
View All
Blockchain Bites: Bitcoin's Run, Uniswap's Hemorrhaging Value, Anchorage's Banking Bid
Bitcoin is nearing all-time highs in price and market cap last set three years ago.
Japan's megabanks to lead experiment with digital yen
We have, in order, Cheese Bank with a $3.3 million theft, Akropolis with its $2 million loss, Value DeFi with a whopping $6 million exploit and finally Origin Protocol's loss of $7 million.
Number of new Bitcoin addresses spikes amid growing FOMO
Japan's three largest banks, as part of a group of 30 private sector actors, are set to collaborate on an experiment with a digital yen.
Not just Wall Street: Quant trader explains why Bitcoin price is going up
Sam Trabucco, a quantitative trader at Alameda Research, believes four general factors are pushing up the price of Bitcoin.