How the Alternate is Combating Crypto Crime

[PRESS RELEASE – Read Disclaimer]

WhiteBIT cryptocurrency trade introduced at this time that it has efficiently secured over $150 million in at-risk cryptocurrency funds in 2024, additional solidifying WhiteBIT’s function as a key accomplice within the combat towards digital crime. The secured funds embrace belongings recovered from third-party hacks and people shielded from account breaches and scams.

In accordance with the Chainalysis 2024 Crypto Crime Report, stolen crypto funds reached $2.2 billion globally, a 21.07% improve from the earlier yr. The variety of hacking incidents rose from 282 in 2023 to 303 over the identical interval, reflecting an ongoing problem for the trade in stopping and addressing safety breaches.

Excessive-Profile Recoveries

WhiteBIT’s efforts have been central to resolving a number of vital instances involving stolen crypto belongings. Because of these efforts, the corporate has safeguarded $4.8 million in stolen funds.

The trade efficiently secured funds tied to XRP in an investigation involving Ripple co-founder Chris Larsen. In response to the Coinspaid breach, WhiteBIT froze vital quantities of cryptocurrency, serving to to mitigate losses for the affected customers. Moreover, the trade acted swiftly throughout the TAO Holder case, recognized by blockchain investigator ZachXBT, blocking a big sum of USDC and supporting legislation enforcement efforts of their restoration course of.

In April, cryptocurrency trade Rain.com fell sufferer to a $16 million hack orchestrated by the North Korean hacking group Lazarus. Investigators collaborating with the FBI traced $760,000 in stolen SOL to WhiteBIT. In September, WhiteBIT had efficiently returned the funds to the FBI pursuant to a Court docket Order, additional aiding within the restoration course of.

Anti-Cash Laundering Practices 

WhiteBIT is devoted to collaborating with legislation enforcement businesses globally to boost safety and shield customers from fraudulent actions. The crew locations a powerful emphasis on transparency and streamlined communication, guaranteeing that legislation enforcement can simply join when wanted.

“Our strategy goes past normal AML practices,” acknowledged a consultant from WhiteBIT’s Compliance division. “We leverage OSINT (Open-Supply Intelligence) to uncover suspicious actions meticulously, make the most of custom-built monitoring techniques to detect and halt fraudulent transactions, and conduct handbook investigations to make sure detailed and correct assessments of flagged instances.”

Insights on Cybercrime in 2024

In accordance with consultants from WhiteBIT’s Compliance Division, the most typical kinds of incidents on the trade are as follows:

1. Hacking of wallets by technical means—equivalent to phishing, viruses, keyloggers, and direct hacking—accounts for 40% of the incidents on the trade;
2. Social engineering scams: One other 40% is attributed to scams involving guarantees of simple funding returns, usually disguised as legit alternatives. They sometimes contain refined techniques, together with pretend web sites and a number of people interacting with victims to construct belief;
3. Scrolling scams: 10% of victims are lured by crypto-related Telegram channels. Initially, they make small earnings, which ends up in repeated investments, however ultimately, the scammers disappear with the funds;
4. The remaining 10% of incidents contain pretend variations of the WhiteBIT web site and compromised accounts.

WhiteBIT’s Compliance division consultant explains: “Weak passwords and lack of two-factor authentication (2FA) considerably improve the danger of compromising the accounts. At WhiteBIT, we mitigate these dangers by storing 96% of funds in chilly wallets, imposing 2FA, and securing non-public keys with superior encryption protocols.”

Safety Requirements

WhiteBIT is ranked among the many prime 5 most safe crypto exchanges globally by CER.stay and is the primary crypto trade to realize the CCSS Stage 3 certification—the best safety normal within the crypto trade in the mean time. This distinction underscores the trade’s proactive efforts to safeguard customers and belongings towards more and more refined cyber threats.

WhiteBIT stays on the forefront of crypto safety, combining innovation, compliance, and swift motion to sort out rising threats. In a yr marked by record-breaking crypto crime, WhiteBIT’s efforts haven’t solely safeguarded tens of millions but additionally set a benchmark for the complete trade.

About WhiteBIT

WhiteBIT is the second trade globally by site visitors, providing over 700 buying and selling pairs, 300 belongings, and supporting 9 fiat currencies. Based in 2018, the platform is part of WhiteBIT Group which serves greater than 35 million prospects worldwide. WhiteBIT collaborates with Visa, FACEIT, FC Barcelona, and the Ukrainian Nationwide Soccer Crew. WhiteBIT is among the many most safe crypto exchanges in line with CER.stay and is the primary and solely crypto trade to realize the CCSS Stage certification — the best cryptocurrency safety normal within the trade thus far. The corporate is devoted to driving the widespread adoption of blockchain expertise worldwide.

This materials doesn’t pertain solely to the corporate’s European transactions however applies to the actions of all WhiteBIT Group firms globally.