2024 will be a milestone year for the Web3 industry. This year, major financial centers including the United States and Hong Kong launched a series of regulatory compliance policies to help the Web3 industry grow in an orderly manner in the country; through RWA (real world assets) on-chain, virtual asset spot ETFs, and Meme culture Through communication and other means, the scale of the industry has grown explosively; the entry of sovereign state funds and traditional listed companies has pushed the total market value of Crypto to unprecedented heights.

For Bitrace, 2024 is also a year of leapfrog. This year, we have been deeply involved in the Hong Kong market, helping local law enforcement authorities investigate currency-related crimes, and assisting regulatory authorities to better understand the encryption market; based on our understanding of the encryption crime ecology, we have investigated public security incidents and provided loss recovery services for hundreds of victims. ; Further improve the supervision, compliance, and investigation tool products and service support based on AI and big data technology to provide customers with more accurate and efficient identification and monitoring of risks and criminal activities in the chain.

Next, we will introduce these three keywords to you.

Hongkong

Hong Kong launched a new Web3 industry policy that attracted global attention in 2023, aiming to regulate the industry based on regulations such as anti- money laundering (AML) and combating the financing of terrorism (CFT). This plan will also be continued in 2024, following the development of VASP After the implementation of the licensing system, legislative activities for stablecoins, payments and VAOTC began.

As a local regulatory technology company in Hong Kong, Bitrace has always maintained close cooperation with the Hong Kong government to provide assistance in areas such as law enforcement and supervision——

For law enforcement collaboration. Bitrace not only helped the Hong Kong police investigate many large-scale and well-known currency-related cases and recover damaged assets for victims of related incidents, but also provided dozens of Crypto tracking analysis trainings to law enforcement officers to enhance the police’s on-chain analysis capabilities and better Combating currency-related crimes;

For regulatory collaboration. Based on its understanding of current common currency-related criminal methods and the cryptocurrency money laundering industry, Bitrace provides leading regulatory tools and timely threats to regulatory authorities including Hong Kong Customs, the Hong Kong Monetary Authority, and the Hong Kong Securities and Futures Commission. Intelligence to better monitor and prevent criminal activities and identify related criminal funds.

As a result, it has gained widespread recognition in the industry. This year, Bitrace was invited to participate in a number of large-scale financial technology forums in Hong Kong. With its advanced experience and innovative solutions in the Regtech field, Bitrace was selected as Invest HK Fintech “Must-know” 2024. .

Anti-fraud

This year, as the overall market value of the industry expanded, fraud-related criminal activities became more frequent. Bitrace continued to provide services to industry users and institutions, and achieved greater results——

Research on the currency-related crime industry. Our engineers and investigators use real case investigations, open source network intelligence, and field surveys to sort out and dismantle the current popular criminal methods and changing trends. The geographical scope covers Hong Kong, Southeast Asia, Mainland China, Taiwan, and Japan. , South Korea and other countries or regions. Our work has been widely recognized by our peers and clients. The United Nations also cited Bitrace’s survey results in two reports on Southeast Asia’s criminal ecology released that year;

Assistance for victims of fraud. Bitrace has provided fund tracking and reporting guidance services to victims in more than 238 independent cases this year, with the amount directly involved exceeding 150 million US dollars. In addition, Bitrace has also actively participated in the investigation of public security incidents, including DMM, DEXX, BingX and other institutions. In the event of an attack, we will promptly participate in tracking and intercepting funds. Based on this work, we wrote a large number of incident reports and anti-fraud popular science articles, and released the "Web3 Anti- Fraud Manual" in the third quarter, which was widely praised.

RegTech

In 2023, we launched regulatory technology tools and services including DeTrust on-chain risk fund monitoring and management platform, BitracePro cryptocurrency multi-party collaboration analysis platform, address fund risk audit, business address monitoring, etc. This year, we expanded the data on this basis. Scope, tools and service capabilities——

for data range. Bitrace not only adds canvas analysis and address fund risk audit support for dozens of other mainstream Layer1 and Layer2 public chains on the basis of the original Bitcoin, Ethereum, Tron Chain, and Binance Ecological Chain. In addition, some categories of financial risk labels have been enhanced, including sanctions, CSAM, terrorist financing, etc. In addition, we also conducted research on the VAOTC business format and mainstream stablecoin market in Hong Kong, and produced a special data monitoring panel to help customers better understand local industry risk trends;

For tools and service capabilities. Based on its data and intelligence capabilities, Bitrace provides customized products and services to Hong Kong law enforcement and regulatory authorities to help them better perceive, identify, and block local risk events. It also provides personalized services to several large Web3 entities. data packages and product components to help improve the existing platform risk control system.

It is worth mentioning that the current updated versions of Detrust and BitracePro tools are under internal testing. We will provide more functions and services in the future, so stay tuned.

write at the end

In the past year, Bitrace, like all those who love this industry, has witnessed the great leap of the Web3 industry with great joy. In the new year, we will also forge ahead, live up to expectations, and bring great benefits to the industry. More trust and compliance.