Blockfenders Inc. has received $1.5 million as pre-seed financing. The startup, which offers a platform powered by blockchain, promises to make it easier for companies to share information securely.
Palo Alto-based startup, announced this investment in the morning. The investment was made by more than 12 venture capitalists and angel investors. Co-founder and Chief Executive Viraj Phanse has worked at Amazon Web Services Inc., Oracle Corp., Persistent Systems Inc. and Aerospike Inc., and co-founder and Chief Technology Officer Niranjan Ingale led engineering teams at AllScripts Healthcare LLC and Persistent.
Organisations share information to help support their business. Two startups working to integrate their software-as-a-service applications, for example, might share certain source code. Blockfenders claims that the traditional approach to sharing data is often a lot of work, and requires specialized technical knowledge.
Blockfenders’ platform, which bears the same name as their company, allows companies to exchange information via a simple interface. According to Blockfenders, their platform allows companies to share information in just a few moments. Data analytics projects can now be started faster.
The company will also use blockchain technology in order to enhance data security and protect information customers exchange with each other. Data masking is a tool that enables a business to hide information before sharing it with an outside party. It’s a term used to describe a method of cybersecurity designed for the reduction of the threat posed by e-attacks. By using data masking, companies can substitute sensitive information within a file for placeholders which do not pose any cybersecurity risks if hackers take the file.
Blockfenders uses end-toend encryption to secure the data it processes. Recordings are encrypted and sent across the network. They can only be unlocked by the receiver.
Smart contracts are used by the platform to control user access. Smart contracts are blockchain-based programs that perform predefined actions when conditions are met. These programs, for instance, can decrypt data protected with end-to-end cryptography after verifying that the user’s access request is valid.
Blockfenders also stores an unalterable log of all data requests that are processed through its platform. This log cannot be altered, so hackers can’t hide their attempts to steal business data or alter it. It’s possible to continually verify the data integrity by using features of the platform.
Ingale stated that “We democratize data sharing” by enabling non-technical people to easily share their data without worrying about privacy or security. Now, organizations are able to establish a centralized source of information and can share that data with precision while adhering to strict regulations.
Blockfenders revealed today that two companies are piloting their platform: a digital health company focusing on eyecare and “global employee-engagement platform provider”. Two major banks have also expressed interest in the platform, according to Blockfenders. This new funding will be used to increase its market share in healthcare, technology and financial services sectors.