One of the unfortunate realities of crypto’s growing worldwide interest is the growing number of investors who have been harmed by cryptocurrency thieves, money launderers, and market manipulators. But according to Coinfirm, a London based firm specializing in AML and regulatory technology for blockchain and cryptocurrency, there is a way to trace, locate, and in many cases recover assets lost due to these nefarious activities.
Through a new tool called Reclaim Fork, crypto investors can gain support in recovering forked tokens that were stolen from them, irrespective of whether the coins were on exchanges at the time when the fork occurred.
“We believe that customer protection and market integrity is critical for the long-term value of the crypto market.”
In an exclusive interview with Gokhshtein Media, Aleksander described Coinfirm`s role in tracing and locating illicitly obtained crypto assets
“It is our belief that we’ve developed the most robust crypto assets tracing technology on the planet. By way of example, funds that have been moved from sanctioned or hacked wallets are traced automatically through hundreds of layering transactions. This prompts an immediate alert to cooperating (Virtual Asset Service Providers (VASP) to freeze funds once they reach their specific accounts.”
He goes on to note that Coinfirm’s investigation methodology uses multiple different tracing methods for the same investigation. This includes methods widely adopted in bankruptcy law, such as first-in, first-out (FIFO), last-in, first-out (LIFO), pro-rata distribution (Proportional Distribution), lower intermediate balance rule (LIBR), as well as proprietary methods enhanced for the specifics of blockchain. “The reported findings are stronger if they are supported by results of multiple different tracing methods,” says Aleksander
In terms of what users need to know in terms of recovering digital assets stolen from them, Aleksander concludes with this:
“Each case requires an individual approach. The investigation is a multistage process, requiring the cooperation of forensic examiners, analysts, legal offices, law enforcement. Filing a Reclaim Crypto claim is the first step in the recovery processes leading to a proper assessment of law enforcement procedures in their jurisdiction.”