Chain Clustering

Chain clustering is a technique used in blockchain forensics to group multiple wallet addresses that are controlled by the same entity. It relies on the assumption that if an input transaction involves multiple addresses, those addresses likely belong to the same owner or service provider.

By aggregating these addresses into a single cluster, analysts can create a more accurate profile of an entity's total holdings and transaction behavior. This method is essential for deanonymizing participants on transparent ledgers where individual addresses might otherwise appear disconnected.

It allows investigators to see the broader picture of how funds move through an exchange or a mixing service. Clustering is a foundational tool for mapping the operational infrastructure of large-scale crypto wallets.