Chainalysis Acquires Hexagate to Enhance Web3 Security

Chainalysis has announced its acquisition of Hexagate, a leading provider of Web3 security solutions that detect and mitigate real-time threats, including cyber exploits, hacks, and governance and financial risks. This acquisition enhances Chainalysis’ blockchain data solutions, offering a comprehensive approach to blockchain security.

Jonathan Levin, Co-Founder and CEO of Chainalysis, explained, “In order to advance our mission to build trust in blockchains, we needed to expand beyond investigations into prevention. The Hexagate team impressed me with their proactive security suite, including monitoring, mitigation, forensics, and compliance. Together, we offer a holistic risk solution encompassing prevention, compliance, and remediation.”

Hexagate employs machine learning models to identify suspicious patterns and unusual transactions in real time across blockchain networks. The company has successfully detected all known hacks over the past two years, with more than 98% identified before they occurred. As a result, Hexagate’s clients, including Coinbase and Consensys, have saved over $1 billion in customer funds through real-time notifications and automated threat responses.

Shashank Agrawal, Head of Protocol Security at Coinbase, shared, “Hexagate has become an integral part of our on-chain security. Their real-time detection and monitoring solution for the Base ecosystem has provided us with comprehensive coverage, ensuring user safety and reinforcing trust in our on-chain activities.”

As the crypto ecosystem continues to grow, especially with the rise of smart contracts, securing these contracts is becoming critical. With the expansion of stablecoins, layer 1 and layer 2 protocols, and wallet infrastructure, preventing fund loss is essential for private sector entities. Governments will also increasingly focus on monitoring smart contracts associated with illicit funds.

Jonathan Levin concluded, “We’re thrilled to welcome Hexagate to the team, and together, we aim to create a safer, more transparent financial system. Web3 is transparent by design, and with the right solutions, it can be the world’s safest financial system.”

This acquisition strengthens Chainalysis’ commitment to improving Web3 security and enhancing the trust and safety of blockchain-based transactions.