Technical Definition

On-Chain Investigation

An on-chain investigation is a structured examination of blockchain transactions to reconstruct activity, trace funds, and develop evidence about an event or actor.

By Crypto University Editorial
Blockchain AnalyticsEntity AttributionWallet Clustering

✦ Key Insight

On-chain investigations are used after hacks, scams, sanctions violations, fraud, and other incidents to understand where assets moved.

✕ Common Misconceptions

Following funds does not by itself establish criminal intent or real-world identity. Investigators must distinguish facts from inference.

Detailed Explanation

Investigators can follow transactions because public blockchains preserve transaction records. They may combine these records with attribution data, exchange information, smart-contract activity, and other evidence.

In Practice

“After a protocol exploit, analysts trace stolen tokens through swaps and bridges and identify deposits into centralized services.”

Dig Deeper

Transaction Hash

A transaction hash is a unique identifier assigned to a blockchain transaction. It acts like a digital receipt number that lets users track and verify a transfer on the blockchain.

On-Chain Analysis

On-chain analysis is the study of data recorded directly on blockchains to understand transactions, wallet behavior, asset flows, and network activity.

Blockchain Analytics

Blockchain analytics is the systematic examination of blockchain data to identify transactions, fund flows, behavioral patterns, and possible links between addresses and entities.

Entity Attribution

Entity attribution is the process of linking blockchain addresses or address clusters to a real-world service, organization, or actor using supporting evidence.

Wallet Clustering

Wallet clustering uses blockchain patterns and other evidence to group addresses that may be controlled by the same entity or wallet infrastructure.