- Huobi Group will launch an on-chain analytics tool to monitor outlawed cryptocurrency transactions.
- Huobi will utilize the tool for the identification of the suspicious accounts on its exchange.
- Ciara Sun, Huobi Group’s VP of Global Business says that any incident regardless of its size will pollute the entire industry.
Huobi Group is planning to launch an on-chain analytics tool to monitor outlawed cryptocurrency transactions. Huobi Group founded in 2013, has a mission to make advancements in core blockchain technology and to integrate blockchain technology and other industries.
The provision of methods is the main idea behind Huobi’s Star Atlas tool development. The methods that will help track on-chain asset flows in real-time. Huobi will become a brand new entrant in a market that has primarily obliged governments, law enforcement and financial analysts. This brand new entry of Huobi is through this launch.
U.S. agencies are reported to have paid out nearly $10 million in September 2019. This is in the inclusion of the bulk of the activity that comes from the IRS and the FBI.
Blockchain Analytical Tool will identify Suspicious Behavior
All these services are striking because of the anonymous features cryptocurrency offers. Also, because of the perceived appeal of those conducting illegal activities online.
To list the existing market players, Chainalysis, Elliptic and CipherTrace are few of them among others.
Huobi has reported that it will utilize the tool for the identification of the suspicious accounts on its exchange. It will also pose temporary restrictions on them from the withdrawal of the assets. This is as per the press statement shared with the Block.
Ciara Sun’s Opinion Regarding the Tool Launch
Ciara Sun, Huobi Group’s VP of Global Business was heard saying that the entire industry can be polluted by any incident, regardless of its size. Although the fact that only a small percentage of cryptocurrency transactions are illegal.
He further added that being one of the most active crypto exchanges on the market, they are looking forward to being responsible. They seek to take a lead role in preventing the minority of illegal users from disrupting the majority of legal users.
The company has reported working with regulators across jurisdictions for the attaining of licenses. Besides, to also assure that the tool is complying with their needs of local know-your-customer (KYC) and anti-money laundering (AML).