Identity startup Cambridge Blockchain has closed a $7 million Series A round led by HCM Capital, the investing arm of the Taiwanese manufacturing giant Foxconn Technology Group.
The equity investment round, joined by Partech Ventures and Digital Currency Group, consists of both the conversion of existing debt and an infusion of new capital, bringing the total amount raised to $9 million, including a seed round last year.
According to Tuesday’s announcement, Foxconn is “exploring deployments” of software developed by Cambridge Blockchain to improve the management of connected devices and global supply chains.
Over the next two years, the Cambridge, Massachusetts-based firm, founded in 2015, plans to use the funds to build out its enterprise data management software, which is paradoxically geared toward both protecting identities and streamlining know-your-customer compliance for internet-connected devices.
“This funding is a critical milestone and reflects the progress we’ve made in becoming the leading blockchain-based identity solution for enterprises,” said Matthew Commons, Cambridge Blockchain’s founder and CEO.
The funding also marks the latest move by the Foxconn unit in financing startups in the blockchain space. Explaining its interest in this use case, Jack Lee, founding managing partner of HCM Capital, said in a statement: