Andalusia Labs, a leading company in risk management infrastructure for digital assets, has raised $48 million in Series A funding round with a valuation above $1 billion.
The round was led by Lightspeed Venture Partners and Mubadala Capital, the asset management subsidiary of Mubadala Investment Company. Existing investors Pantera Capital, Framework Ventures, Bain Capital Ventures, and Digital Currency Group also participated.
Andalusia Labs also announced the establishment of its global headquarters in Abu Dhabi Global Markets (ADGM).
The company said the strategic move to relocate is because “Abu Dhabi is now a leading financial hub for digital assets that nurtures growth and fosters innovation through its progressive regulatory structure, unique connectivity to eastern and western markets, and being home to some of the world’s largest sovereign wealth funds providing strong access to institutional capital”.
The company intends to utilise the funds to accelerate product development, enhance institutional partnerships, and continue global expansion. The team is rapidly expanding, and hiring across finance, business development, AI, cryptography, distributed systems, and security engineering.
Andalusia Labs: Pioneering blockchain innovation
Raouf Ben-Har and Drew Patel, founders of Andalusia Labs, said in a statement: “Blockchain is still in the very early innings, and we’re thrilled to have partners like Lightspeed and Mubadala who share our commitment and vision for building the premier risk management infrastructure for the world.
“This funding will enable us to continue developing the best-in-class products for our users that will unlock the potential of digital assets and drive innovation in global financial services around the globe.”
Andalusia Labs is a collection of leading technology solutions addressing the security challenges prevalent in the blockchain industry. This includes Karak, a risk management infrastructure for digital assets; Subsea, a risk management marketplace for digital assets; and Watchtower, a security platform for digital assets.
Shaun Lee, partner at Mubadala Capital, said: “We’re honoured to build our partnership with Raouf, Drew and the Andalusia Labs team. The opening of their global headquarters in Abu Dhabi will catalyse their global scaling efforts and strategically position the company for unparalleled growth. We look forward to supporting them on the next chapter of their journey in shaping the future of blockchain and Web3 parametric risk management.”
Karak is a Layer 2 blockchain introducing risk management infrastructure for blockchain, Web3, and global financial services, prioritising financial security while upholding the highest standards of security, scalability, and affordability.
Subsea, natively built on the Karak blockchain, is a leading risk management marketplace for digital assets that features an automated, transparent, and impartial invariant detection mechanism to secure users against digital asset risks, hacks, and attacks.
Unlike current market models that lack realism, Watchtower, which is currently in private beta, creates realistic market simulations in real time with real data for the first time. The combination of Subsea and Watchtower built on the Karak blockchain will provide risk management and security required to build a safe environment for the industry.
