Back to Blog

Erik Voorhees as Founder of ShapeShift, announces seed round with Barry Silbert, Roger Ver

Nothing travels faster than a well-kept secret.

Let us take this opportunity to formally announce the following: the mystery creator behind Swiss-based ShapeShift is Erik Voorhees, formerly CEO of Coinapult and creator of SatoshiDICE.

Why the mystery? The goal with ShapeShift was this: build a service that was safe and trustworthy by design, not by faith in the creator.

Traditional exchanges have all relied on a model requiring user accounts and deposits. Yet, just in the last few months, two leading altcoin exchanges, MintPal and BTER, were hacked, with millions of dollars worth of customer money at risk or lost permanently.

There is a better way. Bitcoin services can be built to significantly reduce or eliminate the need for trust at all, thereby protecting users by design.

ShapeShift was built as a demonstration of this principle: exchanges occur without custodianship of user funds. Indeed, there are no user accounts whatsoever.

This means ShapeShift doesn’t need to secure/protect millions of dollars worth of customer money, making it less of a target for hackers, and if a hack occurs, it is only ShapeShift’s money that is at risk.

This is consumer protection. And not only is it far safer for users, it is much faster. The marketplace seems to like this model; ShapeShift’s exchange volume has been growing by 30% per month for the past six months. There is no easier or safer way to trade Bitcoin with Litecoin, Darkcoin, Ripple, NXT, Bitshares, and other leading digital assets.

Seed Round

And more fun news: we’re thrilled to announce our seed funding round, led by pioneering Bitcoin investors Barry Silbert (with Digital Currency Group) and Roger Ver. These individuals have been instrumental in launching some of the most crucial infrastructure in Bitcoinland, and we’re honored to be working with them at this early stage.

If you haven’t yet tried ShapeShift, please check it out (both web and API flavors). There is no signup process whatsoever. You can now move between digital assets with the grace and elegance that only cryptocurrency permits.

Watch a quick video to see how it works.