CipherTrace expands to cover Binance Smart Chain amid wave of exploits

Blockchain and cryptocurrency company CipherTrace has announced analytics support for Binance Smart Chain amid a rise in attacks and vulnerabilities on protocols running on the network.

CipherTrace expands to cover Binance Smart Chain amid wave of exploits

The firm stated in an announcement on May 27, it aims to identify higher-risk financial transactions taking place on BSC and its decentralized applications which now number more than 600. 

Dave Jevans, CEO of CipherTrace, stated that once support for a blockchain is added, the firm can add analytics for all applications built on that network.

The blockchain company is already tracking the activity of more than a thousand digital assets. The inclusion of CipherTrace’s analytics also allows Virtual Asset Service Providers (VASPs), such as exchanges, banks, OTC desks, hosted wallets, and other financial institutions, to flag transactions occurring on BSC that have a high probability of originating in illicit activity, including fraud.

The Chief Compliance Officer of Binance, Samuel Lim, noted that integration with global anti-money laundering regulations is paramount and CipherTrace will help them to achieve it.

As being the blockchain from the largest crypto exchange, BSC has been the epicenter of illicit activity and DeFi exploits over the past few months. 

Despite ample security, as the crypto sector is growing wildly, the list of protocols losing money to malicious actors is also growing. Recently, PancakeBunny has lost as much as $200 million in BNB and its native token in a massive flash loan attack on May 20.

Several other DeFi protocols running on BSC that have also been hacked or exploited recently include Cream Finance, bEarn, Bogged Finance, Uranium Finance, Meerkat Finance, SafeMoon, and Spartan Protocol.