Chainalysis Launches Government-Focused Team Offering Solutions for Crypto Crimes

Chainalysis Government Solutions was established by Blockchain Analytics firm. It is a subsidiary that assists US government agencies in investigating crypto-related crimes. The firm’s most recent research shows that 75% of US public sector agencies are not adequately prepared to deal with crypto incidents. This highlights the increasing need for investigators to have access to relevant technologies and resources.

Government Companies

Chainalysis, which has made deals worth millions of dollars with the US government, has increased its efforts to assist public agencies in crypto investigations. It now provides data tools and advanced technology that can track transactions using blockchain.

The firm signed a $625K agreement with IRS in 2020 to develop a tool to track privacy coins such as Monero and second-layer solutions such as Lightning Network. This was done because the IRS wanted to track and detect illicit crypto transactions.

Chainalysis recently posted four solutions to US agencies in a blog post. The firm will use “the best software tools and data in the industry” to integrate on-chain analysis and provide insight for government agencies.

The rise in crypto crime has led to governments conducting crypto investigations that have gone beyond bitcoin use in illicit markets. They now target ransomware attacks, hacking by nation states, and other areas, said Michael Gronager, CEO of Chainalysis.

In addition, the firm suggested that its headcount could double due to the new division. Currently, the company has 110 employees, including 90 forensic investigators. This is expected to happen in the six to twelve months. After raising $170M in May, the analytics giant was valued at $8.6B.

Public Agencies

According to a survey by the firm, 74% of employees in public agencies believe their organization isn’t equipped to investigate crypto-related crime. The new subsidiary will be government-focused.

Many public agencies have not adopted specialized tools to analyze blockchain data for the relevant investigations, despite the increase in DeFi activity.

Chainalysis surveyed 300 people from 183 agencies of the US and Canada to find out how they were doing with crypto investigations. The most common crypto-related crimes are fraud, ransomware, and drugs.

Respondents rated their knowledge of cryptocurrency at 58 on an average scale of 0 to 100, from not to knowledgeable to extremely knowledgeable. Public sector education is also required. According to the report, public employees need better tools and support in order to track and investigate cases involving crypto.

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Marla Brooks

Marla Brooks – Financial Analysis My name is Marla Brooks, and I am the mainstream behind the”observednews.com”  for the powerful and most delicate insights into the latest activities in the financial analysis category. I started my journey as an independent financial consultant. I had approximately nine years of experience in this field. I am free soul so; my passion for exploring the world has taken me to the nations across the globe and given me the chance to report for a portion of the best news associations. Currently, I am a full-time editor as experienced in finance and started to use my abilities.

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