Chainalysis has activated a partnership with Bitfinex exchange to provide its anti-money laundering (AML) solutions across the Bitfinex platform.\r\n\r\nChainalysis is a New York-based startup that monitors illegal activities on blockchain networks and provides a secured compliance solution.\r\n\r\nBitfinex exchange and its sister company Tether coin will now deploy the AML compliance software that will track high-risk cryptocurrency transactions. It will further provide security against illicit activities from the darknet and the gaming industry across the exchange.\r\n\r\nBeing one of the largest crypto exchanges in terms of volumes, Bitfinex now would be able to identify suspicious and risky activities via the Chainalysis\u2019 \u201cKnow Your Transaction\u201d (KYT).\r\n\r\nJason Bond Chief Revenue Officer of Chainalysis quoted that increasing the regulatory scrutiny and compliance procedures have helped us to grow the business over the years and now even the customers are realizing the importance of these measures.\r\n\r\nHe further said,\r\n\r\n\u201cBitfinex is known as a destination for cryptocurrencies and that volume requires an automated blockchain analysis solution in order to comply with regulations across the world. We are thrilled to work with Bitfinex as we mutually invest in supporting multiple cryptocurrencies.\u201d\r\n\r\nPeter Warrack, Chief Compliance Officer of Bitfinex, said,\r\n\r\n\u201cChainalysis is a top-of-the-line comprehensive and privacy safe compliance aligned with what we were seeking to keep bad actors off to our platform while protecting the privacy of our users. The solution does not share information identifying users, which is kept strictly-in-house. We are excited to work alongside the Chainalysis team to continue to build out a safe and robust platform for our users.\u201d\r\n\r\nDue to the strict compulsion of AML regulations under Jurisdictions, many top global exchanges and countries like the UK and Australia are now following regulatory compliance measures to curb illegal activities across the industry. Chainalysis so far has 200 customers and has been hired by several governments, crypto companies, businesses, and financial institutions to monitor their systems.\r\n\r\nCurrently, it is monitoring the top 41 cryptocurrencies and some tokens as well, which includes Bitcoin Cash, Bitcoin, Ether, top stablecoins, and ERC-20 tokens like Tether, Dai, and Maker.\r\n\r\nChainalysis Compliance software uses algorithms, pattern recognition, and open source references to identify the risky transactions and screens live alerts to combat cybercrimes. It comprises a team of economic analysts and financial crime identification experts.