Elliptic Upgrades Continuous Monitoring to Cut Crypto Alert

The product addresses a well-documented operational problem for money laundering reporting officers (MLROs) at exchanges, custodians and digital asset firms. Customer risk profiles are not static after onboarding: wallets that score low at the point of screening can subsequently transact with illicit counterparties, change cluster membership or accumulate significant unexplained inflows. Without automated rescreening, compliance teams must manually re-run checks across their entire customer book to surface those that have moved, an approach that does not scale at current transaction volumes.

Elliptic describes two structural changes in this version. First, the event-detection layer now covers a wider set of triggers beyond label changes, including material shifts in inflow or outflow volumes, address clustering updates, label changes on counterparties several hops away from the screened address, and direct label changes on screened addresses themselves. Alongside event-based detection, every enrolled wallet and transaction is also rescreened on a fixed schedule, which the company says prevents risk from slipping through between triggered events.

Second, the alerting configuration now operates across four parameters: risk-score thresholds, risk-score deltas, specific risk rules and screening-type filters. Individual entities can be excluded from alerting where they are no longer commercially relevant. When a rescreen runs but does not meet the defined notification criteria, the updated score is written to the Elliptic Lens interface for passive review rather than generating an active alert.

Jackson Hull, chief technology officer and chief operating officer at Elliptic, said monitoring obligations on MLROs are tightening and that existing solutions “leave exposure gaps by only alerting on obvious triggers like label changes while missing the rest,” while compensating by firing notifications so broadly that material alerts get buried.

The product lands against a backdrop of intensifying AML expectations for digital asset firms. In the UK, the Financial Conduct Authority has continued to raise the bar for crypto firm registration under the Money Laundering Regulations, and the Bank of England‘s systemic risk framing increasingly touches firms operating digital asset infrastructure. Across the EU, MiCA’s travel rule requirements and the accompanying transfer-of-funds regulation place ongoing transaction monitoring at the centre of compliance obligations for crypto-asset service providers. Both regimes place personal liability risk on MLROs, which is the regulatory pressure Hull’s statement alludes to.

The continuous transaction monitoring segment is contested. Chainalysis, TRM Labs and Merkle Science all offer risk-scoring and monitoring tools aimed at the same institutional compliance buyer, and several are bundling monitoring more tightly into their broader blockchain intelligence platforms. Elliptic’s differentiation claim rests on the breadth of its event detection and the granularity of alert configuration, rather than on proprietary data coverage alone. Whether the 75 per cent reduction in triage time can be validated independently will matter to institutional buyers making procurement decisions in a market where compliance teams are under sustained headcount pressure.

Elliptic was founded in 2013 and operates offices across London, New York, Washington D.C., Miami, Dubai, Hong Kong, Singapore and Tokyo. Continuous Monitoring is available now. No pricing terms were disclosed in the announcement.