Illegal activities on popular exchanges continue to grow just as cryptocurrency adoption increases.
Many exchanges have therefore considered delving deeper into the security system space in order to tackle such illegal attempts and to get a better understanding of such activities.
Under that context, Bittrex has announced the inclusion of Chainalysis’ “know your transaction (KYT)” in order to spot high-risk transactions.
Bittrex has incorporated Chainalysis’s KYT kit in order to align to new regulatory standards. This kit is a software designed to deliver effective solutions such as monitoring high volumes of activity happening in the crypto space. This way, it helps in the proper identification of high-risk transactions. After the announcement of the update, Bill Shihara, CEO of Bittrex, added,
“As our business continues to grow, having a thorough and reliable transaction monitoring system in place is crucial in demonstrating our commitment to compliance. Chainalysis KYT is an important tool in having an effective anti-money laundering program by helping us prevent, detect, and address unlawful behaviour.”
Bittrex can leverage Chainalyis’s real-time transaction monitoring solutions that are currently being offered for a significant number of cryptocurrencies.
During the start of 2019, Chainalysis expanded its Chainalysis KYT; its anti-money laundering (AML) compliance solution so that it can cover the most popularly traded digital assets such as Ether (ETH), Bitcoin Cash (BCH), Litecoin (LTC) and many top stablecoins.
It also covered major ERC-20 tokens such as Tether, Maker, and DAI, with more announcements coming later, regarding the addition of more cryptocurrencies.
As Chainalysis KYT is designed to make the assessment task easier by automating the entire procedure, major cryptocurrency businesses and financial institutions have started using it for meeting the instructed regulatory requirements as well.
In the current scenario, Chainalysis KYT covered almost 25 cryptocurrencies that form 85% of the top 100 list by trading volume.