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Bittrex announces upgrade of security measures by using Chainalysis’s KYT tool

Biraajmaan Tamuly

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Bittrex to upgrade its security measures by using Chainalysis's tool for better identification of high-risk transactions
Source: Pixabay

As cryptocurrency adoption surges, so do illegal activities on popular exchanges. For tackling these attempts effectively, many exchanges have started diving deeper into the security system space to get a better understanding of such activities. In line with this, Bittrex has announced the inclusion of Chainalysis “know your transaction (KYT)” tool for spotting high-risk transactions.

For aligning its offerings to new regulatory standards, Bittrex has incorporated Chainalysis’s KYT kit. This kit is just a software designed to deliver effective solutions such as monitoring high volumes of activity happening in the cryptospace. 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 behavior.”

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.

Biraajmaan is a full-time journalist at AMBCrypto covering the US market. A graduate in Automobile engineering, he writes mainly about regulations and its impact with a focus on technological advancements in the crypto space.