Security startup nCrypted Cloud raises over $5 million

Boston, October 27, 2014 - nCrypted Cloud, Boston baked online security service for cloud data storage (DropBox, Google Drive, OneDrive, Box) for enterprises, has raised investment from global venture fund Maxfield Capital and a pool of business angels from companies including Microsoft, Cisco, Reveal Imaging and Broadcom. The round, led by Maxfield Capital, was worth more than $5 million.

In addition to encrypting data stored in Dropbox, Google Drive, OneDrive Box and other popular cloud storage providers, nCrypted Cloud also allows data owners to monitor and control who has access. A record is kept of all requests to view files, and it is also possible to restrict outside users to limited access.

The service works as an add-on to existing cloud solutions, so encryption takes place on the client’s device before it is uploaded to the cloud. Data can be accessed away from the office using nCrypted Cloud’s Android and iOS mobile platforms. Users can opt for a free service for personal storage or a paid service for enterprise package.

nCrypted Cloud’s service, which is based on patented industry-standard encryption technology, provides all the necessary safeguards to enable mobile computing (e.g. BYOD), social collaboration, and consumerization.

The company, founded by security expert Igor Odnorov and serial entrepreneur Nikolas Stamos, does not reveal its total number of clients, but it has registered more than 100 million ‘events’ and encrypted more than 10 million files.

According to Gartner the global market for cloud storage data-security was worth $2.1 billion in 2013 and is growing at an average of 20% per year. A report from 451 Research estimates that by 2016 companies could be directing as much as 70% of their IT-infrastructure budget to cloud data-protection.

Maxfield Capital partner Aleksander Lazarev explained why the fund chose to invest in nCrypted Cloud -
“nCrypted Cloud has great potential - they have unique technology, a strong team and there is strong demand for their product from business clients. The free service provides a good way for users to find out about the product’s strengths before paying for enterprise-level protection for their organisation.”
nCrypted Cloud for iOS and Android