Blockchain forensics firm Crystal Intelligence to acquire Whale Alert’s scam notification platform

Blockchain forensics firm Crystal Intelligence plans to acquire Scam Alerts, a web3 fraud notification platform currently operated by crypto transaction monitoring firm Whale Alert.

Terms of the deal were not disclosed. The acquisition is expected to close by the end of May. Once completed, Scam Alerts will become a standalone, non-commercial entity within Crystal Intelligence, according to a release shared with The Block.

"Too often, scam victims are left with no place to turn," Navin Gupta, CEO of Crystal Intelligence, said in an email to The Block. "Scam Alert is about giving them a way to speak up and be heard. Every report submitted contributes to a clearer picture of how these scams operate, where they’re spreading, and who they’re targeting. That kind of insight is incredibly valuable for prevention and for the investigators and enforcement agencies who are trying to keep up with an increasingly complex threat landscape.”

Crystal Intelligence aims to streamline how crypto fraud victims report scams as well as to aggregate individual fraud reports, the release continues. More broadly, the company seeks to improve cryptocurrency adoption by lowering the prevalence of scams within the space. 

Whale Alert will act as an advisory partner following this acquisition. Crystal Intelligence intends to launch a comprehensive data collection that supports numerous languages and provides a better victim support structure. Additionally, Crystal plans to bolster collaboration with law enforcement worldwide, with Scam Alert set to work closely with local blockchain communities globally. 

"Localization for us means more than just language; it’s about cultural context, regional fraud patterns, and trusted community partners," said Crystal COO Marina Khaustova in an email to The Block. "Scam Alert is our direct response to the urgent need to address the growing issue of fraud."

Navin Gupta joined Crystal as its CEO in February 2024 after previously serving as the managing director of the crypto firm Ripple. 

Crypto-related financial crimes appear to be on the rise, a recent report from the Federal Bureau of Investigation's cybercrime arm shows. The FBI's Internet Crime Complaint Center received around 150,000 complaints involving cryptocurrency and calculated losses to exceed $9.3 billion. This represented a 66% increase compared to 2o23, with individuals 60 years or older losing around $2.8 billion from crypto-related internet crime, The Block previously reported.