Huobi Launches On-Chain Analytics Tool to Monitor Illicit Cryptocurrency Activities

Huobi Group announced the launch of Star Atlas, a proprietary on-chain analytics tool to monitor on-chain cryptocurrency transactions for illicit activities. The new tool aims to create a safer trading environment and ease regulator concerns that cryptocurrencies are easily manipulated by criminals.

As a matter of policy, Huobi aligns itself with the requirements of global financial watchdogs, making all efforts to work closely with regulators to attain necessary licenses and comply with local KYC and AML requirements in every market it operates. The launch of Star Atlas underscores Huobi’s efforts to expand its security measures beyond local requirements and contribute to the fight against nefarious uses of cryptocurrencies on a global scale.

“It’s estimated that only a small percentage of cryptocurrency transactions are illicit, but any incident—regardless of size—is a stain on the entire industry,” said Ciara Sun, VP of Global Business of Huobi Group. “As one of the most active crypto exchanges on the market, we see it as our responsibility to take a leading role in preventing the minority of bad actors from ruining it for the vast majority that follows the rules.”

Recommended AI News: The Role Of Artificial Intelligence In Transforming Customer Experience

Protecting the Blockchain

Star Atlas is a new security tool that introduces a new level of transparency to help monitor cryptocurrency transactions to identify high risk behaviors and detect crimes like fraud, money laundering, and other illicit activities. Star Atlas monitors and analyzes on-chain cryptocurrency activities in real time to identify and flag suspicious or problematic transactions for further investigation.

Anonymity is still preserved as a core value of blockchain to ensure a high degree of financial privacy for traders, but Star Atlas utilizes various on-chain monitoring techniques, such as monitoring on-chain flow of assets, event correlation analysis, identity authentication, and malicious address labeling, to single out and track illicit activities. Star Atlas also provides a visual user interface so Huobi administrators can easily trace the transaction paths of illicit activities.

Recommended AI News:Essential Technology For Remote Workers During The COVID-19 Pandemic

Additionally, Star Atlas maintains a large address library with tens of millions of tags and tens of thousands of blacklisted addresses, which is updated and expanded automatically to allow Huobi to more efficiently detect malicious accounts and even dark web transactions among numerous complex transactions. The system also automatically monitors every on-chain transaction for markers of high-risk activity.

When combined with pertinent information like user identity, Star Atlas is able to enhance the overall capability in identifying abnormal behaviors in real time to effectively mitigate potential risks posed to Huobi or its users. Accounts flagged by the system for suspicious activities will be temporarily restricted from withdrawing assets until additional verification requirements are satisfied.

The proprietary technology behind Star Atlas has been in development for over a year and is based on years of intelligence gathered by the crypto industry’s leading security experts. Sun added, “Star Atlas is a tool we are very proud of as it encapsulates and maintains the most important core values at Huobi. We have robust security on our platforms, we put safety first for our users, and our platform always makes our best efforts to provide a safe, secure trading experience for our users.”

Recommended AI News: Opinion: Young Jamaican’s Invention Could Help Tackle Spread of Viruses Like COVID-19