Experts spoke about financial transparency and the fight against suspicious transactions on crypto exchanges

Analysts from Chainalysis stated that in the cryptocurrency segment, companies are increasingly faced with the need to record and report suspicious transactions that may be related to financial crimes. Such requirements have long been a standard for traditional organizations, but now they are spreading to the cryptosphere as well. One example of such activity is considered payment splitting, or smurfing. This is a method in which users make multiple transactions for amounts just below a threshold that requires mandatory notification. For example, repeated transfers of $2.9k instead of a single transaction can attract attention. Also attracting attention is a sudden increase in activity known as velocity increase. If a user who previously made one trade per week suddenly starts trading 20 times in the same period, this may require additional analysis.

Another important signal is common counterparties. If several users start actively transferring funds to the same unknown address, this may warrant further investigation. Such anomalies may indicate potentially risky behavior.

Experts stressed that cryptocurrency exchanges should develop individual risk management strategies. This includes documenting processes, analyzing gray areas, and identifying steps to respond to new scenarios. The approach to risk management cannot be one-size-fits-all. Each platform has to be tailored to effectively identify and prevent suspicious activity. This approach not only protects the reputation of the platform, but also promotes the development of a secure crypto ecosystem.