The DARPA office hired crypto intelligence from Inca digital to conduct a long term project.
The company will develop tools that provide the Pentagon a detailed view of crypto markets’ inner workings.
"The program underway here includes mapping out the cryptocurrency universe in precise detail" stated Mark Flood.
The deal is the latest proof that federal agencies are working up efforts to thrash rogue regimes, terrorists and other criminal actors utilising crypto to fund their operations.
Flood noted that hackers linked with the North Korean government have carried out digital heists showing billions of dollars for the regime’s weapons program.
The governments still struggle to police the cryptocurrencies.
The lack of regulatory loopholes has allowed it to grow into a financial system that shrewed criminals have found ample chances to exploit.
Zarazinski said that " There is a lot of concern regarding crypto scams right now."
The project is not DARPA's first venture in the blockchain technology.
Flood said the agency’s target with its recent project is not to track individual crypto users.