Cryptocurrency and blockchain intelligence firm CipherTrace has announced analytics support for Binance Smart Chain (BSC). All this, amid an increase in attacks and vulnerabilities in the protocols that run on the network.
In an announcement on May 27, the firm stated that its objective is to identify the highest risk financial transactions taking place at BSC. As well as its decentralized applications, which now number more than 600.
CipherTrace already tracks the activity of over a thousand digital assets. Dave Jevans, CEO of Blockchain company CipherTrace, stated that once support is added for a blockchain. The company can add analytics for all applications created on that network.
The inclusion of CipherTrace analytics also enables Virtual Asset Service Providers (VASP). Such as exchanges, banks, OTC desks, hosted wallets, and other financial institutions, flag transactions that occur on BSC, which have a high probability of originating from illicit activities, including fraud.
CipherTrace: Controlling money laundering is paramount for Binance
Binance Chief Compliance Officer Samuel Lim noted that compliance with global anti-money laundering regulations is paramount and CipherTrace will help them achieve this.
“CipherTrace’s incorporation of Binance Smart Chain data into its attribution system to support applications and exchanges is a move to combat illicit activities. In the long term, this will give BSC more credibility and partnerships in the regulated and fiduciary space. ‘
BSC has been the epicenter of DeFi’s illicit activity and vulnerabilities in recent months. The list of protocols that lose money to malicious actors is growing. The largest of which is PancakeBunny, which lost up to $ 200 million in BNB and its native token in a massive flash loan attack on May 20.
For his part, CipherTrace CEO Dave Jevans highlighted that his company also offers support for all applications created on a network for which he provides analysis:
“This efficient system gives us the ability to adjust to the ever-changing crypto landscape much faster than the competition.”
Other DeFi protocols running on BSCs that have recently been hacked or exploited include: Cream Finance, bEarn, Bogged Finance, Uranium Finance, Meerkat Finance, SafeMoon, and Spartan Protocol.
CipherTrace: Crypto-crime has decreased
According to a recent report from CipherTrace, losses from cryptocurrency theft, hacking, or fraud have dropped considerably since January. However, he admitted that the same cannot be said for crime in decentralized finance (DeFi).
As of April 30, criminals in the crypto space contributed to the loss of $ 432 million, according to the report.