Cloudburst is a firm that was founded to provide regulators, financial institutions and trading platforms among others with access to a real-time and machine readable crypto monitoring tool to enable advanced levels of diligence and customer as well as market protection. The firm operates under the mantra that crypto is risky and therefore, users have to invest in intelligence to mitigate their exposure to risk. In its mission, Cloudburst helps users navigate the complex and shifting terrain of crypto trading fraud.
Recently, Cloudburst has secured $3 million in a seed funding round that was led by Strategic Cyber Ventures. Other backers in this financing round include Coinbase Ventures and Bloccelerate Venture Capital.
The infrastructure being developed by Cloudburst is aimed at availing cyber threat intelligence tools to help track fraud in crypto markets in real-time and as it happens as well as the actors responsible for it. The unique and powerful set of tools will help investigators track and identify fraud actors in a way that does not depend on anonymous wallet addresses. The firm’s products are not limited web3 as they also offer solutions to customers in the public sector and traditional finance.
Included in its offerings is an educational scheme that educates users on everything they need to know about pump and dump schemes that are increasingly becoming the norm in the crypto markets. These schemes leverage the initial hype of a new product offering, which includes paying notable celebrities as ambassadors for their products and then use the publicity to drive the prices to crazy amounts and quickly liquidating their assets, leaving the rest of the investors in limbo.
In the crypto market, especially with bearish conditions, many players including investors, exchanges and regulatory agencies are flying blind, that is, they lack the means to sufficiently understand, anticipate and defend themselves against adverse market manipulations and often end up losing to murky transactions. Cloudburst has therefore come up with a suite of regulatory solutions to help genuine actors in these circumstances.
According to Evan Kohlmann, the founder and CEO of Cloudburst – who also previously co-founded Flashpoint, the firm is thrilled to have the support of investors as it continues to develop cyber-intelligence solutions for digital currencies. He also further stated that this investment round is testament to the firm’s hard work and dedication.
On the other hand, Hank Thomas, founder and CEO of Strategic Cyber Ventures, has expressed his excitement in partnering with Cloudburst while giving a vote of confidence that Cloudburst’s approach will be a primary tool for securing the cryptocurrency environment therefore, eliminating scams and allowing for further professionalization of the industry.
