DOJ's FBI Awards $8.58M Contract to Chainalysis Inc. for Electronic Computer Manufacturing Services
Contract Overview
Contract Amount: $8,579,386 ($8.6M)
Contractor: Chainalysis Inc.
Awarding Agency: Department of Justice
Start Date: 2026-04-01
End Date: 2027-09-29
Contract Duration: 546 days
Daily Burn Rate: $15.7K/day
Competition Type: COMPETED UNDER SAP
Number of Offers Received: 6
Pricing Type: FIRM FIXED PRICE
Sector: IT
Official Description: CHAINALYSIS
Place of Performance
Location: ASHBURN, LOUDOUN County, VIRGINIA, 20147
State: Virginia Government Spending
Plain-Language Summary
Department of Justice obligated $8.6 million to CHAINALYSIS INC. for work described as: CHAINALYSIS Key points: 1. Contract awarded to Chainalysis Inc. for $8.58 million. 2. The contract falls under the Electronic Computer Manufacturing NAICS code. 3. Competition was conducted under Simplified Acquisition Procedures (SAP). 4. The contract duration is 546 days. 5. This award represents a specific procurement within the broader federal IT landscape.
Value Assessment
Rating: fair
The contract's value of $8.58 million for a 546-day period suggests a moderate per-unit cost. Without specific itemization or comparison to similar government contracts for advanced analytics software and services, a precise pricing assessment is difficult. However, the firm fixed-price structure provides cost certainty.
Cost Per Unit: N/A
Competition Analysis
Competition Level: limited
The contract was competed under Simplified Acquisition Procedures (SAP), indicating a limited competition environment. While SAP aims for efficiency, it may not always yield the most competitive pricing compared to full and open competition, potentially impacting price discovery.
Taxpayer Impact: The $8.58 million expenditure represents taxpayer funds allocated for critical law enforcement technology. The effectiveness of the procured services in achieving the FBI's mission will ultimately determine the value for taxpayers.
Public Impact
Enhances FBI's capabilities in digital forensics and cryptocurrency analysis. Supports national security and law enforcement efforts against cybercrime. Potential for improved efficiency in investigations and evidence gathering. Ensures access to specialized technology for critical federal agency needs.
Waste & Efficiency Indicators
Waste Risk Score: 85 / 10
Warning Flags
- Limited competition under SAP may not guarantee best value.
- Lack of detailed cost breakdown makes precise value assessment challenging.
- Dependence on a single vendor for specialized services could pose future risks.
Positive Signals
- Firm fixed-price contract provides cost certainty.
- Supports critical law enforcement and national security missions.
- Awarded to a specialized vendor with relevant expertise.
Sector Analysis
This contract falls within the broader Information Technology sector, specifically related to electronic computer manufacturing and related services. Federal spending in this area is substantial, driven by the need for advanced analytical tools and cybersecurity solutions across various agencies.
Small Business Impact
The data indicates this contract was not set aside for small businesses (sb: false). Therefore, small businesses were likely not primary participants in this specific procurement, and the benefits to the small business sector from this award are minimal.
Oversight & Accountability
Oversight will be managed by the Department of Justice's Federal Bureau of Investigation. The firm fixed-price nature of the contract provides some level of financial accountability, but ongoing performance monitoring is crucial to ensure effective use of funds.
Related Government Programs
- Electronic Computer Manufacturing
- Department of Justice Contracting
- Federal Bureau of Investigation Programs
Risk Flags
- Limited competition.
- Potential for vendor lock-in.
- Lack of detailed cost breakdown.
- Reliance on specialized third-party technology.
Tags
electronic-computer-manufacturing, department-of-justice, va, delivery-order, 1m-plus
Frequently Asked Questions
What is this federal contract paying for?
Department of Justice awarded $8.6 million to CHAINALYSIS INC.. CHAINALYSIS
Who is the contractor on this award?
The obligated recipient is CHAINALYSIS INC..
Which agency awarded this contract?
Awarding agency: Department of Justice (Federal Bureau of Investigation).
What is the total obligated amount?
The obligated amount is $8.6 million.
What is the period of performance?
Start: 2026-04-01. End: 2027-09-29.
What specific analytical capabilities does Chainalysis provide that are critical for the FBI's mission, and how do these capabilities compare to potential alternatives?
Chainalysis is known for its blockchain analysis tools, which are crucial for tracing cryptocurrency transactions and identifying illicit activities. The FBI likely utilizes these capabilities for investigations into cybercrime, money laundering, and terrorism financing. Alternatives might include other specialized blockchain analytics firms or in-house developed solutions, but Chainalysis is a recognized leader in this niche.
What are the potential risks associated with relying on Chainalysis for these specialized services, particularly concerning data security and vendor lock-in?
Risks include potential vulnerabilities in data handling and security protocols, as well as vendor lock-in due to the specialized nature of the software and services. If Chainalysis experiences service disruptions or changes its pricing significantly, the FBI could face operational challenges. Ensuring robust data protection agreements and contingency plans is vital.
How effectively will this contract enable the FBI to achieve its objectives in combating complex financial crimes and enhancing digital forensics capabilities?
The effectiveness hinges on the integration of Chainalysis's tools into existing FBI workflows and the training provided to analysts. If the technology proves reliable and user-friendly, it can significantly enhance the speed and accuracy of investigations. Regular performance reviews and feedback loops will be essential to gauge and ensure its contribution to the FBI's mission.
Industry Classification
NAICS: Manufacturing › Computer and Peripheral Equipment Manufacturing › Electronic Computer Manufacturing
Product/Service Code: IT AND TELECOM - SECURITY AND COMPLIANCE
Competition & Pricing
Extent Competed: COMPETED UNDER SAP
Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY
Offers Received: 6
Pricing Type: FIRM FIXED PRICE (J)
Evaluated Preference: NONE
Contractor Details
Address: 114 5TH AVE FL 19, NEW YORK, NY, 10011
Business Categories: Category Business, Corporate Entity Not Tax Exempt, Small Business, Special Designations, U.S.-Owned Business
Financial Breakdown
Contract Ceiling: $8,579,386
Exercised Options: $8,579,386
Current Obligation: $8,579,386
Contract Characteristics
Commercial Item: PRODUCTS OR SERVICES PURSUANT TO FAR 12.102(F)
Cost or Pricing Data: NO
Parent Contract
Parent Award PIID: 15F06722D0000317
IDV Type: IDC
Timeline
Start Date: 2026-04-01
Current End Date: 2027-09-29
Potential End Date: 2027-09-29 00:00:00
Last Modified: 2026-04-10
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