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- Chain Reaction
Chain Reaction Valuation, Funding & Investors
Chain Reaction is valued at $500M as of February 2023.
Last Chain Reaction valuation
$500M
Series C · Feb 2023
Last Chain Reaction funding round
$70M
Series C · Feb 2023
Cumulative funding Chain Reaction raised
$115M
across 3 funding rounds
Key investors in Chain Reaction
Jerusalem Venture Partners (JVP)
Hanaco Venture Capital
KCK
BlackRock
Atreides Management
Morgan Creek Capital Management
About Chain Reaction
Chain Reaction is a blockchain and privacy technology developer accelerating compute performance for complex applications. Its EL3CTRUM product line features hashing ASICs optimized for efficiency and low power consumption in hashboards and systems. The 3PU platform speeds up privacy-enhancing technologies on encrypted data for sectors including financial institutions, healthcare, defense, oil and gas. Solutions enable secure, scalable computing in cloud environments.
Founded
2019
HQ
Website
Status
Privately held
Customer focus
B2B
Revenue model
Product sales
Valuation
$500M (Feb 2023)
Chain Reaction Valuation
Chain Reaction is currently valued at $500M, based on its Series C in February 2023.
The $70M round was led by Morgan Creek Capital Management, with participation from KCK, Jerusalem Venture Partners (JVP), Atreides Management, Hanaco Venture Capital, Exor and 1 other investor.
Chain Reaction valuation by funding round
| Date | Stage | Valuation |
|---|---|---|
| Feb 2023 | Series C | $500M |
Chain Reaction Funding History
Chain Reaction has raised a total of $115M across 3 funding rounds.
Chain Reaction's first fundraising round was a $2M Series A in January 2019. The most recent completed round was a $70M Series C in February 2023.
Chain Reaction funding rounds
| Date | Stage | Investors | Raised | Valuation | Deal Summary |
|---|---|---|---|---|---|
| Feb 2023 | Series C | Morgan Creek Capital Management (lead); KCK; Jerusalem Venture Partners (JVP); Atreides Management; Hanaco Venture Capital; Exor; BlackRock | $70M | $500M | Chain Reaction is an Israeli semiconductor company developing energy-efficient hardware acceleration for blockchain and privacy-enhancing technologies (PETs), including application-specific integrated circuits (ASICs) and cloud data center infrastructure. Emerging from stealth in February 2023, it raised $70 million in a Series C round led by Morgan Creek Digital (part of Morgan Creek Capital Management), with participation from Atreides Management, Exor, Hanaco Ventures, Jerusalem Venture Partners (JVP), KCK Capital/Group, and BlueRun Ventures. This brought total funding to $115 million. The round, dated February 23, 2023, supports expansion of its engineering team to over 100 employees, including talent from Nvidia, Mellanox, Israeli Intelligence, and TSMC, and accelerates deployment of enterprise-grade blockchain solutions. Investors highlighted Chain Reaction's potential to set new standards in sustainable blockchain compute infrastructure, combining analog/system design, algorithms, and cryptography to disrupt data center, cloud, and edge computing markets. The funding enables first products to market in Q1 2023, positioning it in the blockchain privacy and infrastructure sector amid growing demand for efficient cryptographic processing. |
| Jan 2021 | Series B | KCK; Jerusalem Venture Partners (JVP) | $43M | - | Chain Reaction is an Israeli startup founded in 2019 by Alon Webman and Oren Yokev, specializing in chips for disruptive blockchain and privacy technologies. The company develops custom ASICs and systems, including its 3PU (Privacy Preserving Processing Unit), to accelerate compute performance for cloud and data centers, optimizing for energy-efficient, high-performance compute in real-time operations. It has raised a total of $115 million from investors including JVP, Hanaco Ventures, Morgan Creek Digital, KCK Capital, Exor, Atreides Management, and BlueRun Ventures, with 100 employees (90% in Israel, rest in USA). A Series C round in February 2023 raised $70 million led by investors like Morgan Creek Capital, Hanaco Ventures, JVP, and KCK Capital. No details on a specific January 2021 round or associated financial metrics like valuation, revenue, or EBITDA are available in the sources for that timeframe. |
| Jan 2019 | Series A | Hanaco Venture Capital | $2M | - | - |
Who has invested in Chain Reaction?
7 investors have backed Chain Reaction across its funding rounds, including Jerusalem Venture Partners (JVP), Hanaco Venture Capital, KCK, BlackRock, Atreides Management and Morgan Creek Capital Management.
Lead investors include Morgan Creek Capital Management.
Chain Reaction Investors
| Investor | HQ | Rounds | Role | First check |
|---|---|---|---|---|
| 2 | Participant | Jan 2021 | ||
| 2 | Participant | Jan 2021 | ||
| 2 | Participant | Jan 2019 | ||
| 1 | Lead | Feb 2023 | ||
| 1 | Participant | Feb 2023 | ||
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Benchmark 350K+ Funding Rounds and Disclosed VC Valuation Multiples
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Start Free TrialChain Reaction Competitors
Chain Reaction competitors include listed companies like Northern Data and Core Scientific, and private ones like Element Labs, Nirvana, Houmo.AI and XINYI Information Technology Ltd.
| Company | HQ | Status | Revenue | EBITDA | Valuation | Revenue Multiple |
|---|---|---|---|---|---|---|
| Publicly listed | $92M | ($36M) | $624M | - | ||
| Publicly listed | $319M | ($211M) | $5.5B | 13.9x | ||
| Private | - | - | $500M | - | ||
| Private | - | - | $508M | - | ||
| Private | $8M | - | $481M | 60.1x | ||
| Private | - | - | $522M | - |
Chain Reaction Public Comps
Chain Reaction is still privately-owned, but its public comps include Fixstars, Stewards, Rhino Bitcoin, Indokripto Koin Semesta, Northern Data, SemiFive, Coincheck Group, Bakkt, Chaince Digital and Corvex.
| Last FY | EV/Revenue | EV/EBITDA | ||||||
|---|---|---|---|---|---|---|---|---|
| Revenue | EBITDA | Last FY | LTM | 2027E | Last FY | LTM | 2027E | |
| $62M | $18M | 6.7x | 5.9x | 23.5x | - | |||
| - | - | - | - | - | - | |||
| $478K | ($417K) | 1242.8x | - | (1423.4x) | - | |||
| $16M | $7M | 36.9x | - | 81.1x | - | |||
| $92M | ($36M) | 15.4x | - | (39.8x) | - | |||
| $80M | ($31M) | 5.5x | 3.5x | (14.0x) | (31.6x) | |||
| $3.1B | $354K | 0.2x | 0.2x | 1312.3x | (189.0x) | |||
| $2.3B | ($98M) | 0.1x | 0.2x | (2.9x) | (27.3x) | |||
This data is available for Pro users. Sign up to see all Chain Reaction competitors and their valuation data. Start Free Trial | ||||||||
Common questions about Chain Reaction
| When was Chain Reaction founded? | Chain Reaction was founded in 2019. |
| Where is Chain Reaction headquartered? | Chain Reaction is headquartered in Yokneam Illit, Israel. |
| Is Chain Reaction publicly listed? | No, Chain Reaction is a private, VC-backed company. |
| What is Chain Reaction's valuation? | Chain Reaction was last valued at $500M in its Series C in February 2023. |
| How much funding has Chain Reaction raised? | Chain Reaction has raised $115M across 3 funding rounds. |
| What was Chain Reaction's last funding round? | Chain Reaction's last funding round was a $70M Series C in February 2023, led by Morgan Creek Capital Management. |
| Who are Chain Reaction's investors? | Chain Reaction's investors include KCK, Jerusalem Venture Partners (JVP), Hanaco Venture Capital, Morgan Creek Capital Management, Atreides Management, Exor and BlackRock. |
| Which companies are comparable to Chain Reaction? | Companies comparable to Chain Reaction include Northern Data, Core Scientific, Element Labs, Nirvana, Houmo.AI and XINYI Information Technology Ltd. |
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