Sherlock introduces AI auditor in beta to reinforce smart contract security
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New York, NY — Sep 23, 2025 — Sherlock, a smart contract security firm, has rolled out the beta of Sherlock AI, an auditing assistant that uses artificial intelligence to review code. The tool is aimed at giving developers earlier visibility into vulnerabilities, complementing — rather than replacing — traditional point-in-time audits.
Rethinking the audit cycle
The launch of Sherlock AI comes as developers continue to grapple with a gap in the traditional audit model. Point-in-time reviews remain central to smart contract security, but they provide only a snapshot of a codebase, leaving long stretches of development without structured oversight. Vulnerabilities that emerge outside the audit window often go unnoticed until much later.
AI as a second layer of defense
According to the firm, Sherlock AI is intended to close that security gap by giving teams faster and cheaper feedback during development, surfacing vulnerabilities early enough to address them without derailing audits or launch timelines. Analysts suggest the approach could shift audits from absorbing costly rework to serving as the final polish before code goes live.
Jack Sanford, co-founder and CEO of Sherlock, made this statement leading into the launch:
“Point-in-time audits are indispensable, but they were never meant to carry the entire burden of security. Too often teams enter audits with code that isn’t ready, leading to wasted time and higher costs. Sherlock AI moves security into the development process itself, giving teams the ability to catch and fix critical issues early so audits deliver maximum value and code goes to mainnet with confidence.”
High-profile hacks underscore persistent risks
Smart contract security continues to face relentless pressure from large-scale exploits. Earlier this year, attackers drained an estimated $1.5 billion in Ethereum from exchange ByBit, one of the largest single hacks the industry has seen. The ByBit hack underscored what’s at stake, with smart contract security now a top priority for leading exchanges and protocols. Sherlock AI enters the market at a moment when teams are searching for ways to spot smart contract vulnerabilities earlier and approach security with greater confidence.
Beta rollout and developer response
The beta was developed with input from Sherlock’s research team and several well-known auditors, including 0x52. Early participants say the system has already helped streamline audit preparation by catching vulnerabilities sooner. Sherlock noted the tool remains in beta, with updates planned as more teams provide feedback and additional integrations are built out.
Positioning in the security market
Sherlock’s model has traditionally combined formal audits, large-scale contests, bug bounties, and financial coverage. With the release of Sherlock AI, the firm is extending that framework into earlier stages of development, giving teams a way to identify issues before they reach an audit.
Demand for smart contract auditing has surged alongside the growth of onchain applications, and competition among security providers has intensified. Analysts say Sherlock’s addition of an AI tool reflects this shift, as firms look to expand beyond one-off reviews and capture a larger share of a rapidly growing market.
About Sherlock
Sherlock is a smart contract security firm that provides audits, contests, bug bounties, and financial coverage to protect projects across their lifecycle. The company works with both established enterprises and emerging onchain ventures, and is recognized for pioneering new approaches to smart contract security.
Media contact
Alec Novella
Head of Marketing, Sherlock
Email: [email protected]
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