Wallet Intelligence helps on-chain apps understand and segment users by analyzing on-chain activity, wallet holdings, labels, and attestations. By providing deep insights into user behavior, Wallet Intelligence enables targeted marketing, personalized experiences, and accelerated growth. In this guide, we’ll explore its key benefits, how it works, and practical applications for your onchain app.
Key Takeaways:
Wallet Intelligence enables accurate segmentation of Web3 users through their on-chain footprint.
It supports targeted marketing, personalized product decisions, and community building.
Wallet reputation scores distinguish genuine users from bots and Sybil attackers.
Integrating Wallet Intelligence gives teams a 360° view of users to accelerate growth.
Wallet Intelligence analyzes wallet activity, labels, and attestations to provide actionable user insights for onchain teams
What is Wallet Intelligence?
Wallet Intelligence extracts actionable insights from crypto wallets by analyzing:
Transaction history
Token holdings
Wallet labels
On-chain attestations
Proof-of-personhood data
Wallet Profile and Activity Feed on Formo
Each wallet leaves a unique onchain footprint — covering dApp interactions, token holdings, and behavioral patterns. Wallet Intelligence platforms aggregate these signals to generate a dynamic reputation score reflecting user quality and reputation.
Formo’s Wallet Profiles unifies data from offchain and onchain data sources to give you a complete view of your users. Turn anonymous wallets into high-value users and track usage of specific, high-value wallets on your dapp.
Wallet Intelligence empowers Web3 teams to turn anonymous wallets into actionable insights and drive meaningful engagement. Here’s how:
Build Wallet profiles: Transform anonymous wallets into high-value users by unifying on-chain and off-chain data.
Gain Audience Insights: Understand your users’ top dApps, token holdings, preferred chains, net worth, and behavior patterns.
Segment Users Precisely: Target wallets based on holdings, DeFi positions, engagement levels, and cross-platform activity.
Leverage Wallet Labels: Automatically categorize users by preferences, behaviors, and interests for smarter targeting.
Boost Engagement: Deliver personalized, wallet-aware messaging that resonates with individual users.
Use Wallet Reputation Scores: Distinguish real users from bots and Sybil attackers, ensuring cleaner data and safer campaigns.
A wallet intelligence system continuously updates wallet scores over time, enabling real-time user insights for segmentation, fraud detection, and personalized growth campaigns.
Why are wallet profiles important?
Users in web3 connect to apps using a crypto wallet, which acts as their pseudonymous digital identity. Wallet Intelligence combines wallet activity with off-chain metadata to create rich, actionable personas that:
Reveal a user’s intent and behaviour
Improve campaign targeting and messaging
Prevent fraud and Sybil attacks
Drive data-driven product and marketing decisions
Audience insights reveal your users' top apps, tokens, chains, and more
With Wallet Intelligence, teams use data to move from guesswork to precision, aligning products and campaigns with real user behavior.
Key Benefits of Wallet Intelligence
1. Enhanced User Segmentation
Wallet Intelligence enables projects to segment their user base into meaningful groups through wallet behavior and reputation.
Segment users into meaningful groups based on in-app and onchain behavior. Personalize communications, promote specific features, and design incentives for key groups such as degens and LPs.
Wallet segmentation allows you to create granular lists of users that fit a specific criteria
2. Fraud and Sybil Attack Prevention
Blockchain’s permissionless nature makes it vulnerable to fake accounts and Sybil attacks (multiple identities controlled by one entity).
Wallet Intelligence detects patterns indicative of fraud by analyzing wallet labels and activity anomalies, helping projects maintain a healthy ecosystem.
3. Improved Marketing ROI
With Wallet Intelligence, data-driven marketing teams can create targeted campaigns more effectively. Marketing and growth teams can focus their resources on real users that move the needle to increase conversion and reduce wasted spend.
Without onchain attribution, you're lost in a dark forest.
4. Proof of Personhood Verification
Some Web3 projects require verifying unique individuals without compromising privacy.
Wallet Intelligence integrates attestations and decentralized identity proofs, such as World ID's proof-of-personhood, to verify users in a privacy-friendly way. Identity verification supports fair token distributions and governance.
5. Data-Driven Product Development
Wallet Intelligence help define product roadmaps with insights into real user behavior. With product analytics, data-driven product teams can dive into user behavior, run experiments, and get to the root causes of growth — all in one place.
Wallet profiles help teams prioritize features that appeal to core users and identify friction points for less active segments.
How Wallet Intelligence Works
Wallet Intelligence stitches together web and in-app behaviour, onchain data, and offchain data to provide actionable insights for onchain teams.
1. Data Collection
Collect wallet data from blockchain explorers, APIs, and indexing services, including transactions, token balances, NFT ownership, and contract interactions.
2. Wallet Profiling
Analyze wallet activity to build profiles from pseudonymous addresses. From onchain data such as existing DeFi positions and token holdings you can identify patterns of behaviour. Which segment does this user belong to? DEX traders? Passive holders?
Identity resolution algorithms help organize wallets into clusters that belong to the same user.
3. Offchain Data Enrichment
Integrate offchain signals such as social media profiles and other offchain signals such as demographics (desktop vs mobile, operating system), with wallet addresses.
Onchain data is not enough; you need offchain data to give it context. By combining onchain and offchain data you get richer, actionable user personas that are far more useful than solely onchain data.
4. Segmentation and Scoring
Users are segmented by traits such as wallet age, transaction frequency, asset holdings, or DeFi positions. Scoring models rank wallets by value or engagement, supporting grouping and prioritization.
5. Visualization and Reporting
Next, we turn data into meaningful visualizations. Dashboards highlight key metrics, trends, and anomalies, providing actionable insights for teams to act on.
Example of Wallet Intelligence Analytics
Formo reveals rich, actionable Web3 User Profiles of your users
Wallet Address: fortuna.eth (0x320e...3343)
Tools Used: Formo’s Wallet Intelligence
Key Findings:
High-Value Holder: Net worth is ~$250,032, with a wallet age of over 5 years.
Frequent Onchain Activity: Over 435 transactions with activity spanning Ethereum ($168k) and Avalanche ($52k).
Top Dapps Used reveal the user's intent and interests:
Lido: $68,241
Etherfi: $56,284
Pendle: $43,485
User Segment and Labels: The system tagged the user as ‘Top 10% on Base’ and ‘Perp DEX User’, indicating experience and knowledge in DeFi.
Referral & Attribution: UTM source from LinkedIn, medium social, campaign early-access, with referral noted as from vitalik.eth. You can measure which users come from specific channels and campaigns.
Engagement Signals: Recently active (last seen a week ago) and is a part of an early user acquisition growth campaign.
Linked Profiles: Associated with a social handle, with website, Discord, Twitter handles linked. These are the social channels the user is active on.
Potential Use Cases:
Strong candidate for ambassador or user interview due to high net worth, active usage, and early adopter behavior.
A good litmus test for future social-driven campaigns due to the LinkedIn UTM source.
Use Cases of Wallet Intelligence
Wallet Intelligence unlocks numerous applications across Web3, enabling better decisions and growth:
1. Marketing Personalization & Campaign Targeting
Wallet intelligence enable personalized, timely outreach. Create targeted campaigns by wallet segment. By reaching specific wallet segments instead of targeting everyone, you can maximize campaign ROI and reduce spending.
2. User Retention & Engagement
Wallet intelligence reveals the lifecycle stage of each user, such as new user, power user, or dormant user.
Re-engage dormant wallets and reward loyal users based on on-chain activity and in-app behaviour, improving user retention and lifetime value. For example, dynamically trigger a coupon code or special onboarding flow for users who are churning.
3. Fraud Prevention & Security
Detect unusual wallet activity indicative of bots, sybil attacks, or wash trading. Flag suspicious wallets for review or restrict their access.
4. Product Analytics & Feature Prioritization
Identify which features are getting adoption from key wallet segments to guide product your product roadmap. Replace guesswork with data.
5. Whitelisting & Access Control
Use wallet profiles to create allowlists for exclusive access to token sales, NFT minting, or beta programs, ensuring a qualified and engaged participant base.
6. Customer Support & CRM Integration
Enrich CRM systems with wallet intelligence to deliver faster, more personalized support for your users.
How Formo Powers Wallet Intelligence
Formo is a Web3-native analytics platform built for Wallet Intelligence. Formo combines forms, wallet profiles, and product analytics into a unified experience.
Web3 Forms: Collect on-chain and off-chain data for richer user insights
Wallet Profiles: Segment and score wallets for marketing, product, or security purposes
Web3 product analytics: Track transactions, token flows, and user engagement in one dashboard
Wallet Intelligence is transforming how Web3 teams understand and engage users. Whether you’re building a dApp, DeFi protocol, or consumer app, integrating Wallet Intelligence is crucial for sustained growth. Formo empowers you to unlock the full potential of Wallet Intelligence, giving you the tools to make impactful product decisions, foster stronger user relationships, and scale with confidence.
Learn more:
Web3 User Analytics 101: What it is and how it works for growth
Web3 User Segmentation: A Guide to Target the Right Audience
Follow us on LinkedIn and Twitter, and join our community to see how Web3 leaders use Formo to drive growth in less time.
FAQs
1. What is Wallet Intelligence in Web3?
Wallet Intelligence is the process of analyzing on-chain and off-chain data associated with crypto wallets to understand user behavior, preferences, and engagement within onchain apps and protocols. By unifying transaction history, token holdings, wallet labels, and in-app behaviour, Wallet Intelligence provides actionable insights that help data-driven onchain product and growth teams to better understand their users.
2. Why is Wallet Intelligence important for Web3 projects?
Wallet Intelligence is crucial because it transforms raw blockchain data into meaningful insights. By combining on-chain activity with off-chain signals, it enables Web3 teams to:
Personalize marketing campaigns for higher engagement
Make data-driven product decisions
Detect fraudulent activity and prevent Sybil attacks
Improve user retention and lifetime value
3. How does Wallet Intelligence improve user acquisition and growth?
By segmenting wallets based on activity, value, and engagement, Web3 projects can run targeted campaigns for specific user groups. This results in:
Higher conversion rates and engagement
Increased monetization opportunities
Optimized marketing spend
Better insights for key metrics such as ARPU (Average Revenue Per User), ROI, and CLTV (Customer Lifetime Value)
4. Can Wallet Intelligence help detect fraudulent activities?
Yes. Wallet Intelligence identifies suspicious patterns such as bot activity, Sybil attacks, or wash trading by analyzing wallet behavior and transaction histories. Prioritizing your real users over bots helps ensure a healthier product and community.
5. How does Formo support Wallet Intelligence?
Formo combines the best features from web2, such as forms, wallet profiles, and product analytics. By integrating these tools, Formo delivers rich, actionable insights that help onchain teams:
Understand user behavior in depth
Segment and score wallets for marketing, product, or security purposes
Improve engagement, growth, and retention across Web3 applications
6. How can Wallet Intelligence enhance DeFi product strategies?
Wallet Intelligence allows DeFi teams to analyze user interactions with lending, borrowing, staking, or swapping protocols. By understanding wallet activity patterns, projects can optimize product features, incentivize high-value behaviors, and design targeted promotions that drive engagement and growth while reducing churn. This enables data-driven decisions that improve both user satisfaction and protocol performance.
7. Can Wallet Intelligence be used to segment users for personalized experiences?
Yes. By analyzing wallet activity, transaction history, and engagement signals, Web3 teams can segment users into meaningful groups, such as frequent traders, long-term holders, or passive participants. These segments allow projects to deliver personalized campaigns, targeted notifications, and tailored rewards, improving retention and overall user experience within onchain applications.
8. What metrics can Wallet Intelligence help Web3 teams track?
Wallet Intelligence helps track key metrics such as transaction frequency, wallet activity, token holdings, retention rates, ARPU, and CLTV. By combining onchain and off-chain signals, teams can measure user engagement, identify high-value wallets, and evaluate the success of marketing or product initiatives. This provides a comprehensive view of the user journey, enabling smarter growth and monetization strategies.
