The largest company in the digital asset space, Tether, has partnered with blockchain data provider Chainalysis to create an adaptable secondary market activity monitoring system.
Secondary market activity pertains to transactions occurring in the broader ecosystem utilizing USDT beyond entities directly trading with Tether. Developed by Chainalysis, this solution enables Tether to track transactions, enhancing market oversight and comprehension systematically.
Additionally, it provides proactive intelligence for Tether compliance experts and investigators, aiding in the identification of high-risk wallets and connections to illicit or sanctioned addresses.
Important elements of this system include an extensive collection of tools for study and monitoring. ‘Sanctions Monitoring’, which offers a comprehensive record of addresses and transactions involving businesses subject to sanctions.
Another element, ‘Categorization’, which permits a comprehensive analysis of USDT holders according to a category, encompassing exchanges and darknet markets.
As per the announcement, it also gives an extensive analysis of prominent USDT holders and their activities through the ‘Largest Wallet Analysis’, as well as an essential ‘Illicit Transfers Detector’ for spotting transactions that can be linked to illegal categories like financing of terrorism.
Tether collaborates with 124 law enforcement agencies in 43 jurisdictions to combat illicit activities. Its strict compliance measures and quick response to USDT misuse set safety standards in the crypto industry, ensuring a secure environment for all participants.
Paolo Ardoino, CEO of Tether stated, “Our collaboration with Chainalysis marks a pivotal step in our ongoing commitment to establishing transparency and security within the cryptocurrency industry. Tether remains steadfast in its dedication to upholding the highest standards of integrity, and this collaboration reinforces our proactive approach to safeguarding our ecosystem against illicit activities.”
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