Chainalysis has announced the launch of its anti-money laundering solution on Bitfinex.
The blockchain analysis company will thus allow the exchange to detect and prevent money laundering and cryptocurrency transactions from illegal activities with its privacy-safe compliance solution.
Chainalysis monitors the blockchains of a total of 41 cryptocurrencies, including Bitcoin, Ether, Bitcoin Cash, Litecoin, and ERC-20 tokens such as Tether, Maker and Dai, allowing exchanges to follow regulatory compliance procedures that are increasingly needed due to the stringent controls imposed by jurisdictions around the world.
Using Chainalysis KYT (Know Your Transaction), crypto companies like Bitfinex can monitor large volumes of cryptocurrency exchanges and identify high-risk transactions in real-time.
Chainalysis already provides compliance software and blockchain analysis to banks, businesses and governments around the world, also thanks to an expert team in financial crime and economic analysis that helps to detect suspicious actions that need to be investigated.
Chainalysis Chief Revenue Officer, Jason Bonds, said:
“Bitfinex is known as a destination for cryptocurrency traders seeking liquidity across various cryptocurrencies, and that volume requires an automated blockchain analysis solution in order to comply with regulations across the world. We are thrilled to work with Bitfinex as we mutually invest in supporting multiple cryptocurrencies”.
Bitfinex’s Chief Compliance Officer, Peter Warrack, added:
“Chainalysis is a top-of-the-line, comprehensive and privacy-safe compliance solution aligned with what we were seeking to keep bad actors off of our platform, while protecting the privacy of our users. The solution does not share information identifying users, which is kept strictly in-house. We are excited to work alongside the Chainalysis team to continue to build out a safe and robust platform for our users”.