Chainalysis, Halborn Join Forces To Tackle Crypto Fraud

Exclusive: Halborn’s 100 “white hat hackers” are getting a crypto fraud detection assist from Chainalysis, an executive told Blockworks


Athitat Shinagowin/Shutterstock modified by Blockworks


Crypto security specialist Halborn and Chainalysis are teaming up in a new initiative designed to arm clients with the technological means and know-how to both preempt and recover from instances of industry fraud. 

The seven-phase planned partnership is designed to “help equip Web3 companies at any stage to prevent and respond to security threats that have plagued the industry,” both companies first told Blockworks in a statement on Tuesday. 

Awareness of scams, frauds, and purported or documented crimes have kept crypto industry participants on edge in 2023. Industry participants say that has been especially true in recent weeks as the SEC and CFTC have continued their offensives against a number of major crypto players with US ties. 

Scott Gralnick, who holds the title of director of channel partnerships at Halborn, told Blockworks in an interview on Tuesday that the ultimate goal of the crypto intercompany collaboration is to combine a couple of “preventive” and “proactive” firms to craft “preventative solutions.” 

“With where [we are], I thought it was paramount that we keep this ecosystem safe and secure,” Gralnick said, referring to macro events and speaking on behalf of Halborn. “This [digital assets] ecosystem at large is lacking what this [industry[ needs to be safe in terms of security.”

His company now is up to a team of about 100 employees, which Gralnick referred to as “white hat hackers” in an industry with bad actors still abounding. 

“Right now, what the ecosystem looks like reminds me of 2019…post ICO [boom],” he said. “All the scammers are sort of being flushed out of the system, and you’re getting back to the real builders in the space building products, keeping [their] heads down and getting ready for the [next] boom. We’re in the same type of environment.”  

It’s designed to break things down into seven sequential phases, according to both companies. Halborn is responsible for executing phases one to five, as outlined in the image below, while Chainalysis is taking on the remaining two phases: “fraud prevention” and “ongoing monitoring.”

Source: Halborn and Chainalysis

The penultimate phase, according to the joint statement, is designed to prioritize “the detection of high-risk activities” with a focus on “preventing fraudulent transactions.”

“The key takeaway is that we’re trying to keep the ecosystem safe, and you can’t do anything on your own,” Gralnick said in the interview. “If you want to go fast, go alone. If you want to go far, go together.”

Don’t miss the next big story – join our free daily newsletter.


Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

Mon - Wed, March 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience: Attend expert-led panel discussions and fireside chats Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts.

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Research report - cover graphics (1).jpg


In this report, we dive into crypto private market data to gather insights on where the future of the industry is headed. Despite a notable downturn in private raises, capital continues to infuse promising projects that aim to transform payments, banking, consumer experiences, community, and more, with 2023 being the fourth-largest year for crypto venture capital.


The results mark “a major positive inflection point,” one analyst says, as the exchange carries net income momentum into a crypto rally


While the slate of 10 US spot bitcoin funds have tallied $4.6 billion of net inflows thus far, half of the field is lagging the leaders


Trading volumes totalled $154 billion in Q4, including $125 billion in institutional volume


DeFi on Bitcoin is all the rage right now and Stacks is positioned to benefit


The Boston Globe reports that lawyer John Deaton is weighing a possible bid


Ethereum’s Dencun upgrade will enable Uniswap v4 to optimize smart contracts for complex functionality