Binance has announced that it has become a founding member of the Beacon Network, developed by Blockchain Analytics company TRM Labs and supported by leading industry players. This network is the first real-time crime response system in the crypto industry.
Binance will become a founding member of TRM Labs’ Beacon Network to fight Crypto Crime
The goal is to strengthen defenders from criminals by leveraging blockchain transparency and speed. Binance’s role in this effort is extremely important as it boasts over 280 million users and some of the highest liquidity in the crypto market.
One of the biggest challenges in fighting code crime is timing. In many cases, illegal funds were only detected after withdrawing from exchanges. Beacon Networks aim to overcome this problem. This system will notify all members immediately if an address linked to hacking, fraud, or other financial crimes is confirmed, and exchanges can freeze the fund before withdrawal.
Not only did the Vinanence, but major cryptocurrencies such as Coinbase, Kraken, Ripple, PayPal, OKX, Bitfinex, and Crypto.com also joined the Beacon Network. The network provides a comprehensive security infrastructure to prevent North Korea-related attacks, ransomware payments, terrorist loans and fraudulent fund recovery.
Noah Perlman, Chief Compliance Director at Binance, emphasized that blockchain is a powerful tool in the fight against crime, saying that the Beacon Network will advance private public collaboration.
While the proportion of illegal activity in crypto transactions is less than 1% today, real-time solutions like this are becoming increasingly important to the scale and speed of attacks.
*This is not investment advice.
Discover more from Earlybirds Invest
Subscribe to get the latest posts sent to your email.
