Valid Network Secures $8 Million in Funding to Help Organizations Automatically Protect Their Blockchain Business Applications

By AIT News Desk On Jul 14, 2020

Ten Eleven Ventures leads seed round for new enterprise security solution to safely develop and deploy blockchain-based business applications

Valid Network announced that it has raised an $8M seed round to enable companies to adopt and automatically protect blockchain technology with confidence. Founded by security veterans Kfir Nissan and Gilad Eisenberger, Valid Network’s solution is protocol-agnostic and ensures compliance while dynamically detecting and preventing breaches and attacks. The company will use the funding to fuel further research and development of its solution and increase its engineering and research teams in Israel. Valid will also open an office in New York City, scaling business development and partnership efforts there.

The seed round was led by Ten Eleven Ventures, a U.S.-based cybersecurity venture capital firm that has invested in 23 leading cybersecurity companies, including Twistlock, Verodin, and Cylance. As part of the round, Mark Hatfield, Co-Founder and General Partner at Ten Eleven Ventures, joins the company’s board of directors. Jerusalem Venture Partners(JVP), an internationally renowned venture capital fund that was the first to invest in Valid Network, also participated in the round.

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Today, enterprises build applications that utilize distributed ledger technology to address transactional and record-keeping business challenges, including payments and settlements, provenance, asset tracking, identity management/KYC, and trade finance. Employing distributed ledger technology in these use cases can reduce friction, lower costs, improve cash flow, and enable new business models, making blockchain-based applications a strategic tool for companies worldwide. According to a 2019 Gartner CIO Survey, 60% of respondent CIOs expected to deploy blockchain within the next three years.

“We built Valid Network on the vision that blockchain-based technologies will open a whole new world of possibilities for businesses globally, unleashing new efficiencies and ways of working,” stated co-Founder and CEO Kfir Nissan. “Valid Network will enable safer and faster adoption of these revolutionary technologies for the benefit of organizations and consumers worldwide. We are thankful for the vote of confidence by our investors, and plan to work hard to fulfill our ambitious plans and make Valid Network into a sustainable, thriving company that brings tangible value to its customers.”

Although some perceive blockchain technology as “already secure,” this is not the case. Developing and deploying complex decentralized global applications that share business processes and data between enterprises has exposed new security and assurance challenges. A new kind of solution is required for organizations to benefit from blockchain technology fully. To address this, Valid Network has pioneered a fully automated solution to secure enterprise-grade blockchain business applications throughout the entire lifecycle.

The COVID-19 pandemic has accelerated digital transformation and innovations in digital health, supply chain integrity, e-commerce, and autonomous services. Enterprise blockchain technology provides the privacy, multi-party trust, and audit ability required to implement these innovations seamlessly, on a global scale. As companies look for new solutions, Valid predicts that additional use cases for blockchain will emerge.

Mark Hatfield commented: “Blockchain-based technologies are enabling a new wave of efficiency and innovation for enterprises, however securing these solutions has been an afterthought to date. Kfir, Gilad, and the Valid Network team have built a comprehensive solution to address the unique challenges and needs of these new business critical apps. The company’s next phase of growth will focus on building and scaling a global organization that can help accelerate the use of decentralized applications securely and effectively.”

According to Gadi Portal, JVP Partner: “Valid is not like other cyber companies. The company has developed breakthrough technology protecting blockchain systems, unseen until now. Recently, numerous organizations are adopting blockchain-based technologies for internal use, the ability to make this technology available and safe is desperately needed. Valid’s technological solution is the key to safe, efficient and reliable enterprise adoption of blockchain technologies, with real-time monitoring and detection.”