Coinfirm Reports $542+ Million Stolen From Crypto Wallets, Offers User Protection Service

Over $500 Million Stolen: Coinfirm Creates Solution Against Rising Theft from Crypto Wallet.

Coinfirm, a global blockchain regtech leader, has created technological solutions to identify where were monies stolen from crypto wallet are transferred to, a solution that will potentially minimize the rise of stolen crypto assets.

In the first quarter of 2018 the estimated loss of stolen crypto assets reached 542 million USD, according to calculations of US Federal Trade Commission. The estimated value of loss from hacks and scams for period 2011-2018 amounted to over 2 billion USD. The number of cryptocurrency thefts resulting from fraudulent activities are increasing from year to year along with the growth of the cryptocurrency market.

The majority of fraud cases widely reported in the media refer to either big cryptocurrency entities or to cases in which huge amounts of money were stolen. On the other hand, in most of scams hacks and frauds mainly individuals are affected, and they involve much smaller amounts of money.

Furthermore, most of these cases go unreported let alone solved. One of the most recent hacks involved one of the largest Japanese cryptocurrency

exchanges. In January 2018, 400 million USD worth of tokens were stolen from Coincheck. According to the Coincheck COO the stolen funds were kept on a “Hot wallet” instead of an offline “Cold wallet”. [2] In February another exchange, BitGrail reported a cryptocurrency theft valued around 170 million USD. [3] And this is just the beginning of the year.

The Coinfirm Solution

At Coinfirm it is possible to track the flow of funds and activities on addresses where the funds are currently stored. With a detailed investigation, it is possible to trace all transactions and addresses and, in some cases, it may be possible to recover stolen funds.

In the process of tracking stolen funds Coinfirm is able to identify various addresses that were involved in that process and inform all users of its platform about the potential risks associated with dealing with them. With advanced analytical tools, it is possible to analyze huge amounts of data and obtain the results in real time.

According to Paweł Aleksander, Co-founder and COO at Coinfirm,

“Coinfirm as a project was created with the vision that blockchain is the most transparent system ever created. Together with anti-money laundering and anti-fraud tools, it has a chance to become a secure and transparent system at a level that is unattainable in the traditional financial system. Coinfirm as a RegTech Leader created such analytical tools. With a team of fraud, data science and IT experts we provide investigative analytic solutions and services,”.