Coinfirm, Kroll Launch ReclaimCrypto, Aiming To Recover Over $1 Billion In Stolen Cryptocurrency
Cryptocurrency firm devises a way to reclaim pilfered cryptocurrencies including Bitcoin, Ether, Bitcoin Cash, NEO, XRP, LTC, and DASH. The company charges a 30% reclaiming fee and returns the rest to the owners.
The amounts of stolen crypto increases year on year as exchange hacks, users’ wallets hacking, exit scams and blatant robbery spreads across the industry like a plague. In 2018, over $1.7 billion was stolen in the industry with estimates from Pawel Kuskowski, CEO of blockchain sleuthing firm Coinfirm, placing the value at $10 billion currently.
While the number might oscillate anywhere between one to twenty billion dollars (almost a tenth of the total market capitalization), one thing remains certain, investors are losing faith in the industry with every steal. However, this is set to change with the latest development from Coinfirm expected to give the investors a chance to retrieve their filched funds.
A Chance to Reclaim the Stolen Funds
In a press release on Coindesk, Pawel confirmed the company has partnered with Kroll and traditional legal firm, Duff & Phelps to develop a platform to allow users to reclaim their stolen digital assets. The platform, ReclaimCrypto, employs the latest forensic techniques in blockchain and traditional asset recovery techniques to track and retrieve stolen cryptocurrency.
The core business for Coinfirm is to track the trail of nicked funds on its web of over 50 major crypto exchanges. The company analyses the transaction history of the funds using smart contracts and big data analytics connecting the transactions on the exchanges.
In case the user moves the cash to the dark web, the firm employs Kroll’s techniques. The company has worked with U.S and U.K authorities to retrieve users’ funds concerning bitcoin fraud and fraudulent ICOs. The partnership with Kroll provides a traditional way to track the funds by following the legal processes to get an internet service provider (ISP) to provide details on the IP address or tracking suspicious activities on the dark web.
Benedict Hamilton, a managing director at Kroll, further explained,
“With the ReclaimCrypto initiative in mind we have been able to repurpose it so we can go into that database with a wallet string and look for any identifiers that are associated with that wallet name – perhaps a conversation over the selling of stolen credit cards or someone offering criminal services and providing that wallet as an address.”