Definition ∞ Detection logic refers to the predefined rules, algorithms, or heuristics employed by a system to identify specific patterns, anomalies, or events. This logic is applied to data streams or system behaviors to recognize conditions that warrant a particular response or alert. It forms the basis for security monitoring, fraud prevention, and operational oversight. Such systems are crucial for maintaining system integrity.
Context ∞ In the context of digital assets and blockchain, detection logic is essential for identifying suspicious transactions, smart contract exploits, or potential security breaches. Analytics firms utilize advanced detection logic to track illicit activity across decentralized networks. Enhancing this logic is a continuous effort to safeguard user funds and network stability.