As of July 31 this year, Binance had recovered $73 million in stolen cryptocurrencies. This represents a notable 33%
increase from the approximately $55 million secured in 2023.
Recovering and Freezing Illegal Crypto Assets
According to the crypto exchange giant, the platform’s
security team has been at the forefront of recovering misplaced and lost funds
and freezing ill-gotten gains that find their way onto the exchange. Binance
has also reportedly collaborated with both industry peers and the public sector
to ensure that affected users receive the necessary support.
The majority of the recovered and frozen funds
approximately 80%—are tied to hacks, exploits, and thefts that occur outside
the Binance platform. The remaining 20% involves scams that also originate
externally.
Binance’s stance has been instrumental in these
recoveries, with Chief Security Officer Jimmy Su emphasizing the company’s
user-centric culture as a driving force behind these achievements.
Contrary to what might be expected, the increase in
recovered and frozen funds does not indicate a rise in criminal activity within
the cryptocurrency space. With all transactions publicly recorded, it has
reportedly become easier to trace and recover stolen funds.
Crypto Crime Report
According to Chainalysis’ 2024 Crypto Crime Report,
the total value received by illicit cryptocurrency addresses dropped
significantly in 2023. The report noted a decline in the share of all crypto
transaction volume associated with illicit activity, from 0.42% in 2022 to
0.34% in 2023.
Expect ongoing updates as this story evolves.
This article was written by Jared Kirui at www.financemagnates.com.
