A coalition of crypto and traditional finance firms, along with law enforcement and security experts, has launched the Beacon Network, aimed at identifying and freezing illicit funds on the blockchain. TRM Labs, one of the key players, stated that the network fosters collaboration to effectively block off-ramps for criminal funds. Since 2023, around $47 billion has flowed to fraud-related addresses. Members of the network can flag suspicious wallet addresses, trace funds, and communicate seamlessly with law enforcement. If flagged funds attempt withdrawal at any network participant, alerts are sent to prevent laundering. Founding members include major exchanges like Coinbase, Binance, and Kraken, as well as payment processors like PayPal. The network addresses the rapid movement of stolen assets, emphasizing the need for swift intervention, as typical interdiction windows are mere minutes. Early cases show success in freezing significant sums linked to scams. The network is strictly accessible only to verified users to prevent misuse, and its primary targets include scammers and hackers with a focus on disrupting financial crimes across the crypto landscape.

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