Binance has successfully prevented potential user losses of over $2.4 billion in the first seven months of 2024.
Binance announced on August 20 that it has successfully prevented potential losses of over $2.4 billion due to scams and fraudulent activities in the first seven months of 2024.
According to Binance, this achievement has protected more than 1.2 million users globally from falling victim to these schemes.
The exchange credits its risk management and real-time monitoring systems for this accomplishment, emphasizing that user safety remains a top priority.
How Binance Prevented $2.4 Billion in Losses
From January to July 2024, Binanceâs risk engine detecte and prevented fraudulent transactions.
The engine, which combines artificial intelligence (AI) and manual review, continuously monitors transactions across all of Binanceâs services.
It is designed to dynamically detect suspicious activities and take swift action to safeguard users.
Binance revealed that out of the $2.4 billion in prevented losses, over $1.1 billion (approximately 45%) were related to suspicious withdrawal attempts.
In these instances, criminals tried to move funds out of Binanceâs security perimeter, but the system successfully flagged and stopped these transactions.
âBeing user-focused has always been a key priority for us at Binance, which underlies our emphasis on building and maintaining industry-leading technological tools and processes that enable us to protect our users and their assets around the clock,â Binance Chief Technology Officer Rohit Wad stated.
Wad also mentioned that continuously improving these systems is essential to staying ahead of potential threats, as malicious actors constantly seek new ways to compromise cryptocurrency platforms.
A Multi-Layered Approach to Security
Binanceâs approach to security incorporates a range of controls to minimize risk exposure across its ecosystem.
These measures are applied across various platform features, including peer-to-peer trading, payments, and network withdrawals.
The exchange has implemented tools such as customized pop-up notifications, cooldown features, and wake-up calls to alert users of potential risks.
Additionally, Binance offers several channels for users to appeal and resolve issues if their transactions are flagged as suspicious.
Binance has also secured over $73 million in misplaced or lost funds for external parties as of July 31, 2024.
This includes recovering big amounts of lost funds and freezing assets obtained through illicit activities that had found their way onto the exchange.
Beyond its internal efforts, Binance is actively collaborating with industry peers and the public sector to support users affected by scams and fraudulent activities.
The exchangeâs work in recovering and freezing funds has shown that up to 80% of these activities are linked to hacks, exploits, and thefts that occurred outside of the Binance platform.
While these measures have effectively protected users, Binance stresses the importance of user vigilance. Rohit Wad still urged users to remain cautious, stating,
âWhile our team has implemented extensive measures to protect your funds, ultimately, users themselves play the largest role in safeguarding their assets. Stay informed, use strong security practices, and be cautious of potential scams.â
Notably, a recent report revealed that Binance is the most preferred cryptocurrency exchange among Chinese-speaking users.
It dominates the market with over 60% share in key categories such as users holding the largest amounts of crypto, highest earners, and involvement in initial crypto listings.
96% of respondents identified Binance as their most frequently used platform.
#EarnFreeCrypto2024 #airdropguide #Write2Earn #BecomeCreator #TONonBinance $BNB
