Elementus Startup Raises $ 3.5 Million in Financing Round

Elementus startup specializing in detecting illegal cryptocurrency transactions raised $ 3.5 million in a round of financing led by Morgan Creek Digital venture capital fund.

Avon Ventures, a venture division of Devonshire Investor, owned by Fidelity Investments, also participated in the financing round.

According to startup co-founder Michael Kalomeni, Elementus is already working with law enforcement agencies and hopes that financial institutions and government departments will start using the company’s services soon.

Kalomeni said that technologically Elementus is superior to its competitors such as Chainalysis, CipherTrace and Elliptic, who have collected a total of several tens of millions of dollars in investment rounds.

“We were able to create such algorithms that can automatically determine the source of funds at countless stages,” said Kalomeni.

The startup has already conducted investigations for several incidents in the cryptocurrency industry, including after the hacking of the cryptocurrency exchanges Cryptopia and CoinBene, as well as the closure of the PlusToken pyramid. In addition, Elementus was able to track cryptocurrencies missing from the QuadrigaCX exchange.