Binance, the largest cryptocurrency exchange in the world, and Chainalysis, a blockchain analytics firm, recently co-hosted an event titled "Securing the Future of Crypto" in Seoul. The event highlighted the importance of collaboration between public and private sectors to prevent crimes related to digital assets. Members of the Korean National Police Agency (KNPA), who were in attendance, participated in the event.
During the event, Alec Zebrick, APAC Manager of Investigations and Special Programs at Chainalysis, shared insights on the current state of cybercrimes. He noted that while some types of cybercrimes have decreased in frequency this year, others have increased. Crypto-related scams have decreased by 45.2% and hacking scams have decreased by 23.5%. However, ransomware attacks have increased by 10.3%. Zebrick explained that ransomware attackers now employ a "Big Game Hunting" approach, targeting institutions with significant financial capital. The fact that these attackers often request payment in the form of cryptocurrency makes collaboration between the public and private sectors crucial to deterring and preventing such crimes.
Jarek Jakubcek, Head of Law Enforcement Training at Binance, discussed the collaboration between Binance and law enforcement agencies worldwide. He emphasized that the Binance Investigation team voluntarily collaborates with law enforcement to provide assistance and freeze crime-linked funds. The team also proactively reports incidents that could be connected to serious crimes such as terrorism and child exploitation. Furthermore, Binance has conducted over 70 law enforcement training sessions in 2023. Jakubcek emphasized the necessity of collaboration between private sector entities like Binance and Chainalysis and public sector entities like the KNPA, as cybercriminals continue to become more sophisticated.
During a panel session at the event, Jakubcek and Zebrick also discussed trends in anti-money laundering (AML) efforts in the digital asset ecosystem. Jakubcek highlighted the significant increase in attention that crypto exchanges have given to AML measures, such as mandatory know your customer (KYC) and know your transaction (KYT) protocols.
KNPA investigators Minjae Kim and Soopyung Lee joined another panel to discuss the importance of collaboration between the private and public sectors on investigations. Kim mentioned that KNPA has partnered with Binance on multiple investigations, leading to criminal apprehensions. She emphasized the need for a standardized framework for collaboration to speed up response times. Lee echoed this sentiment, stating that law enforcement agencies should continue building partnerships with companies like Binance and Chainalysis to establish effective collaboration systems.