Daily fraud update: 16th April

Chris Lee

Currency exchange firm launches anti-fraud analytics tool

A leading currency exchange company has announced it will use a new tool designed to root out scam blockchain transactions.

Huobi Group has said that the new tool, which is called Star Atlas, was designed to keep a close eye on the blockchain to find and root out fraudulent transactions.

It is understood that the monitoring will take place in real time rather than retrospectively, and that it will have the capacity to alert staff members at the firm.

These staff members will then be able to follow up using sophisticated path monitoring techniques.

A wide range of features will be available as part of the new service.

These will include the capacity to analyse events for correlation, as well as tools for verifying the identity of actors on the blockchain.

The tool will also have the ability to flag up addresses being used for malicious purposes.

According to a statement from the company, the new tool is an opportunity to tackle “nefarious uses” of crypto.

“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 said.

A key part of the new system is believed to be tagging.

It is understood that this function will be what powers the library of allegedly fraudulent addresses that the system is intended to develop.

In a further statement, Ciara Sun – who is the vice president of Global Business at Huobi Group – described the new service.

“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”, she said.

“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”, she added.

Scottish town suffers bitcoin extortion cases

Police in a town in Scotland have revealed that there have been two bitcoin extortion cases there in recent days.

According to Neil MacLeod, who is the communities officer in the town of Cumbernauld in between Glasgow and Edinburgh, two people in the town said they have received emails which threatened to expose information unless they transferred crypto.

“These emails threaten to expose the recipients via social media”, Macleod explained.

“However, they [are] being quite vague about what they will expose them for. The request is made that the recipient transfer £2000 via Bitcoin transfer.”

According to a report in the local press, neither of the alleged victims went ahead with any transfers of money.

It is understood that both individuals got in touch with police over the same weekend.

The police request that any other people who received such emails come forward to them with the information.


Chris Lee

Latest news

Scammer Alert – Trader Feedback on The Scams Currently Doing the Rounds
The Forex Fraud team has received more messages from scammed traders pointing out how recent crypto price rallies are bringing an old scam, the double-dip, back to the table. Read more
State of the Nation – Up to Date Reports on Which of the Brokers Can be Trusted – Tickmill
Given the amount of technical and fundamental analysis that goes into running a successful investment strategy, it’s often surprising how many traders skip analysing the health of their broker. Read more

Safest Forest Brokers 2020

Broker Info Best In Customer Satisfaction Score
#1 ForexTime LogoYour capital is at risk Founded: 2011 Global CFD & FX Broker
Number One Broker
BEST FOREX BROKER Visit broker
5
#2 ForexTB logoYour capital is at risk Founded: 2015 Global Forex & CFD Broker
Number One Broker
LOWEST FEES Visit broker
4.9
#3 Tickmill forex broker logoYour capital is at risk Founded: 2014 Global Forex & CFD Broker
Number One Broker
Best Trading Conditions Visit broker
4.9
#4 BlackBull MarketsYour capital is at risk Founded: 2014 Global Forex Broker
Number One Broker
BEST SPREADS Visit broker
4.8
#5 Forex Broker Pepperstone LogoCFDs and FX are complex instruments and come with a high risk of losing money rapidly due to leverage. Between 74-89% of retail investor accounts lose money when trading CFDs. You should consider whether you understand how CFDs work and whether you can afford to take the high risk of losing your money. Founded: 2010 Global Forex Broker
Number One Broker
Low minimum deposit Visit broker
4.9

    Forex Fraud Certified Brokers

    ATFX Logo
    Plus500 Small Logo
    Exness Small Logo
    Forex.com Logo
    IQ Option Logo
    XM Logo
    skilling logo
    AvaTrade logo
    OctaFX Logo
    Pepperstone
    LegacyFX Small Logo
    FXTM Logo
    City Index Logo
    BlackBull Markets Logo
    HYCM Logo
    IC Markets Logo
    investous