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- Crystal acquires Scam Alert to combat crypto scams
- Using AI to track fraud and assist victims
- Supported by Tether, Polygon and the Ethereum Foundation
As crypto scams reach shocking new highs, Crystal Intelligence, a blockchain analytics firm, has taken decisive action to confront the threat.
At Token2049 in Dubai, the company announced the acquisition of Scam Alert, a crypto scam reporting platform created by Whale Alert.
This move is poised to transform how digital currency fraud is detected and reported. By combining Scam Alert’s reporting network with Crystal’s advanced analytics, the platform will consolidate scattered reports and deliver crucial intelligence to law enforcement and compliance teams worldwide.
Crypto crime in the blockchain ecosystem
In 2024 alone, global losses from crypto scams rose by 66% year-over-year to more than $9.3 billion, according to the FBI’s Internet Crime Complaint Center.
Victims often feel isolated and unsupported, with little hope of recovering assets or achieving justice.
Crystal’s acquisition of Scam Alert aims to change that by building a structured, transparent, and cooperative ecosystem for scam detection and victim assistance.
Using proprietary clustering techniques and blockchain analysis, Crystal Intelligence will aggregate reports submitted through Scam Alert to identify large-scale scam networks and reveal coordinated criminal activity.
That intelligence will enable virtual asset service providers (VASPs) and law enforcement to act quickly and prevent further victimization.
“We receive countless pleas for help from scam victims, yet there is almost no system to support them,” said Navin Gupta, CEO of Crystal Intelligence.
“Scam Alert represents our commitment to providing real assistance by filtering genuine reports and working with authorities to trace and recover stolen funds.”
Whale Alert, which created Scam Alert to improve transparency around crypto crime, will remain an advisory partner.
That collaboration is expected to broaden the platform’s reach by leveraging Whale Alert’s influential social presence and extensive experience tracking scams.
Marina Khaustova, Chief Operating Officer of Crystal, emphasized the platform’s potential impact: “Scam Alert can be a lifeline for those affected by crypto scams. Victims deserve an established path for support and fund recovery. We are turning fragmented experiences into actionable intelligence.”
Gradual global rollout
Crystal Intelligence plans a phased global rollout of Scam Alert, beginning with multilingual data collection and regional victim support centers.
The platform will also adopt a hyper-local intelligence approach, engaging local blockchain communities, foundations, and regulators to ensure grassroots participation.
Notably, the initiative is backed by major industry stakeholders, including Tether, Polygon, and the Ethereum Foundation, underscoring growing consensus on the urgent need for robust crypto security infrastructure.
Scam Alert will operate as an independent, non-commercial project, calling on the broader blockchain industry to unite against crypto fraud through intelligence sharing, transparency, and cooperation.