Libra Becomes the First Crypto-based Startup to Receive a Service Organization Control (SOC) Report

 

Libra, a company focused on delivering middle and back office solutions for the crypto industry, has become the first blockchain-based platform to receive a Service Organization Control (SOC) 1 Type 2 attestation report, Associated Press reports today.

The SOC concerns the “Libra Crypto Office” platform. According to Libra’s website, Libra Crypto Office is an “institutional-grade solution purpose-built for the technical nature of blockchains and cryptocurrencies”. The product was launched in November 2017.

Just a couple of days earlier, Libra successfully completed a Series A funding series, worth around $7.8 million. Nine months later, another $15 million was raised during the Series B campaign. Liberty City Ventures participated in Series A while it took a leading role in the Series B.

The software enables Libra’s customers to process crypto-based transactional data into auditable information.

“We are intensely proud to be the first crypto-native software company to achieve this milestone,”  said Jake Benson, Founder and CEO of Libra.

The attestation report was awarded by Friedman LLP, a renowned accounting, tax, and business consulting company based in New York.

“Across the ecosystem, there is a continuing narrative regarding the need to drive the legitimacy of the crypto asset class by obtaining industry-respected credentials. For those securing crypto assets, it’s receiving a qualified custodian license or trust charter. For middle and back office software companies providing the systems that enable the creation of financial statements, it’s receiving a SOC 1 Type 2 report. ” added Benson.

The SOC 1 Type 2 report comes as a result of the extremely rigorous procedure that takes at least six months, through which Libra had been developing a set of policies, procedures and controls, specific to crypto and blockchain space, in order to meet all the criteria.

This news represents a major step toward the wider adoption of the cryptocurrency and blockchain industry, as the owners of digital assets are expected to pay taxes as well.

“To have this certification is a milestone for the industry at large,” proudly concluded Benson.

Thus, both crypto and blockchain companies can now use software which complies with security and accounting principles. One of the latest to do so is Mike Novogratz’s Galaxy Digital, which also marks the first publicly traded company to start using the Libra Crypto Office software.