Chainalysis

Traditional AML software looks at fiat currency moving between bank accounts via SWIFT or ACH networks. Chainalysis is built entirely for the world of cryptocurrency. If a cybercriminal demands a Bitcoin ransom, the traditional banking system is blind to the transaction. Chainalysis, however, maps the public blockchain ledger to real-world entities. Their core product, Chainalysis KYT (Know Your Transaction), is utilized by the FBI, the IRS, and every major cryptocurrency exchange (like Coinbase and Binance). If a user tries to deposit Bitcoin into their exchange account, the software traces the history of that specific Bitcoin. If the software determines the coin recently passed through a darknet market or a sanctioned mixing service, it flags the deposit and freezes the account in real-time. The software utilizes incredibly complex clustering algorithms to identify which anonymous cryptographic addresses belong to the same person or organization. It provides investigators with a highly visual graph, allowing them to literally follow the money from a hacked exchange, through dozens of intermediary wallets, to the final point where the criminal attempts to cash out into fiat currency. It is the absolute gold standard for crypto compliance.