How does on-chain analysis work?
The on-chain analysis is an emerging field that examines a cryptocurrency’s fundamentals, utility, transaction activity, and blockchain data. On-chain analysts attempt to improve their understanding of a network to predict future price movements through analyzing various metrics. Just as fundamental equities analysis aims to understand a company’s value, the on-chain analysis uses publicly available blockchain data to value a network.
Traders and investors often pair on-chain analysis with technical analysis to determine suitable short-term entry and exit points for crypto assets.
One of the most critical use cases of on-chain analysis is using publicly available transaction data to comprehend the value of a blockchain network as opposed to the supposed hype encompassing the crypto-asset.
Our Product Director, Kyrylo Chykhradze, gave an interview for Forklog about risk monitoring and how users can protect themselves from falling victim to scams. Here’re some of the main insights:
- Crypto regulations are evolving at the same pace, just as compliance departments of exchanges and user requirements for risk monitoring.
- In order to measure transaction risk levels, the analytics approach considers factors such as user & service geography. AML takes into account not only the address but a specific money transaction. AML is also used for deposits happening on exchanges. In such cases, the origin of momey, user behavior patterns, the frequency of making transactions, and sanction lists are considered.
- Risk monitoring depends a lot on the region. For instance, businesses such as Gambling are legal in Malta, whereas it’s prohibited in Korea.
- Analytics give users typical patterns and answers to decide based on the system’s responses.
We serve as a one-stop shop on the web for all your crypto analytics needs, from compliance and risk-based assessment to on-chain data visualization and end-to-end monitoring. Utilize Crystal Expert’s cutting-edge technology to access all resources and data necessary for powering diligent investigation, risk management, and compliance. Through our platform, you can ensure consumers have access to safe cryptocurrency space.
About Crystal:
Crystal Blockchain continues to expand and offers industry best-in-class analytics solutions. Crystal analyzes and monitors 98% of blockchain transactions up to 100,000 hops. Our real-time data brings clarity and accuracy to aid in mitigating risk and compliant-driven decisions.
We rank risks and notify you of potentially irregular activities. We assist with investigations, audits, and research reports. We observe changes in regional and global regulations to ensure compliance.
We support transparency in transactions as we work for a better and safer blockchain future. Get in touch at [email protected]
