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Binance leads industry in law enforcement collaboration as crypto crime goes down

Binance’s cooperation with law enforcement furthers the security of the global blockchain ecosystem, enhancing trust and fostering sustainable growth of the industry.



Source: Cointelegraph

Users must feel secure about their crypto assets and the digital assets space to further mainstream adoption and sustainable growth of the industry. To achieve this, Binance works closely with law enforcement agencies around the world to detect and address financial and cybercrimes.

Customer trust plays a pivotal role in the broader adoption of cryptocurrencies, which operate on principles and technologies that are often unfamiliar to the average consumer. In a survey of over 16,000 global consumers, more than half were reported to be concerned about fraud, theft and hacks in crypto.

User safety is a cornerstone of trust in the cryptocurrency space. For wider adoption, users need to understand the intricacies of crypto transactions and feel secure and protected. The sense of security encompasses not just the safeguarding of digital assets but also the assurance that the platforms they use encompass robust security measures and ethical standards.

The responsibility for enhancing trust in the cryptocurrency space largely falls on the shoulders of industry leaders. As a key player striving to enhance trust and security, Binance has implemented measures and efforts beyond standard compliance, actively cooperating with law enforcement agencies worldwide. It works closely with law enforcement and regulators around the world to detect and thwart bad actors from the broader digital assets ecosystem, which helps strengthen efforts to safeguard the rapidly evolving cryptocurrency space and positions Binance as a more secure platform for users and their investments. It takes a proactive approach to tackling online and offline crime, with its highest priority to protect its users and establish industry standards to further the security of the global blockchain ecosystem.

Though illicit activity makes up a very small percentage of global transactions and is on the decline–according to Chainalysis’ latest 2024 crypto crime report, illicit activity fell from 0.42% to 0.34% in 2022 as industry leaders like Binance remain one of the primary allies of law enforcement to collectively fight crime on the blockchain.

This includes their industry’s first training program for law enforcement, a coordinated effort across the globe to help law enforcement and prosecutors detect financial and cybercrimes and to assist in the prosecution of bad actors. In 2023, Binance’s Law Enforcement Training Team, with support from its Investigations Team, delivered 120 onsite or online trainings and workshops. Their investigations team also processed over 58,000 law enforcement requests with an average response time of three days, faster than any traditional financial institution, serving around 13,000 registered officials worldwide through its Government Law Enforcement Request System.

Assisting the fight against cybercrime

Binance’s investigations and financial crimes compliance team includes senior investigators from distinguished blockchain analysis firms and former law enforcement agents who have supported investigations in national security-related issues around the world and criminal activities on the blockchain. The company leverages the transparent nature of blockchain technology, which allows for effective tracing by skilled blockchain and criminal investigators.

Over the years, they have collectively worked with law enforcement to fight against crypto-related crime. In 2020, Binance partnered with the Cyber Police of Ukraine for the Bulletproof Exchanger Project. They focused on tracing transactions between Binance and high-risk entities, ultimately leading to the dismantling of a cybercriminal organization responsible for a significant ransomware campaign and the laundering of over $42 million in cryptocurrencies.

Binance also showed a remarkable capacity to address security threats like hacks and exploits, which pose significant risks to users’ digital assets. The platform’s security and investigation experts have recovered funds lost in such attacks, relieving the victims.

A prime example was August 2022, when Binance froze about $450,000 of stolen crypto assets from Curve Finance users, accounting for 83% of the hacked amount. Despite the hacker’s efforts to bypass security controls, Binance’s detection and close collaboration with law enforcement enabled the return of these funds to the rightful owners.

The company’s efforts in protecting users extend to combating online scams, including the increasingly prevalent pig butchering scams, where criminals build relationships with targets over time, eventually luring them into fake investment schemes.

In another operation, Binance collaborated with the Royal Thai Police’s Cyber Crime Investigation Bureau and the U.S. Homeland Security Investigations to dismantle a major pig butchering scam network in Thailand. The collaboration resulted in the arrest of five key group members and the seizure of assets worth approximately $277 million.

Leaders to provide security

Industry leaders’ efforts to enhance security and trust are crucial for mainstream adoption. By actively combating digital asset scams and illicit activity, collaborating with law enforcement to tackle cybercrime and recovering stolen assets, companies like Binance are setting a precedent in user protection and making the blockchain ecosystem more safe and secure.

Binance’s proactive approach safeguards users’ interests while playing a vital role in building the necessary trust and confidence among the public. As consumer concerns around cryptocurrencies are addressed through such efforts, the path toward mainstream acceptance of digital currencies becomes more achievable.

Disclaimer. EmporioNFT does not endorse any content or product on this page. While we aim at providing you with all important information that we could obtain in this sponsored article, readers should do their own research before taking any actions related to the company and carry full responsibility for their decisions, nor can this article be considered as investment advice.

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