FBI Investigates Hone Capital for Allegedly Passing Trade Secrets and Client Data to China

Sep 25, 2024, 06:35 AM

The FBI is investigating Hone Capital, a Silicon Valley venture capital firm, for allegedly allowing Beijing to obtain trade secrets and client data from its portfolio companies. Hone Capital, which launched in 2015, has invested in 360 US tech startups, including notable firms like Stripe, Cruise, and Boom. The investigation is part of a broader concern about foreign investments in US tech companies potentially compromising national security. In July, the US National Counterintelligence and Security Center (NCSC) warned that overseas adversaries might use investments to acquire sensitive data. The probe has also implicated AngelList, a prominent investment platform.