Blockchain giant Chainalysis will be acquiring Israeli fraud prevention company Alterya, they announced on Monday. This is the second acquisition the company has made in Israel after it acquired Hexagate just last month.
“There is a high level of synergy between the technologies built by both companies, and we expect the merger to lead to rapid growth, deepening value for existing customers and expanding operations into new markets,” Fox said. “Social engineering fraud has become the biggest problem for financial services around the world, which strive to adopt faster and more efficient payment infrastructures.”
Real-time fraud prevention
Indeed, Alterya is a real-time fraud prevention company that emphasizes crypto payments and other instant payment methods. It focuses on early detection of social engineering scams, a threat that has grown steadily as attackers increasingly use Gen AI technologies to build synthetic identities and content designed to defraud end customers.
“With this acquisition, Chainalysis can now provide proactive real-time fraud protection for payments and enhanced fraud detection during the KYC (know your customer) process for exchange, blockchain, and wallet providers,” explained Chainalysis Co-founder and CEO Jonathan Levin. “Alterya has already helped the world’s leading crypto exchanges reduce fraud by tens of percent and streamline manual investigation processes.”
