- Canadian law enforcement officials are using Chainalysis Reactor to find a money trail.
- The program allows them to determine where funds are deposited, after which police can file a request demanding details.
- Before Chainalysis took part in the creation of the Cryptocurrency Investigations Centre in Western Canada.
In Canada, police are using a specialized program called Chainalysis Reactor to track cryptocurrency. The Lethbridge Herald reports this, citing law enforcement officials directly.
The app helps uncover the “trail” of funds all the way back to the exchange where they were deposited. The program produces a range of transaction data from which details about the platform’s customer can be requested.
In comments to the publication, Sgt. Kevin Talbot said this is a major step forward for police. He has already been certified and cleared to use the system.
The loss from cybercrime related to digital assets in Canada was $300 million in 2022 and $164 million in 2021, the publication emphasizes.
Sgt. Talbot believes that implementing such software solutions will reduce losses. That is the top priority in the investigation, the police officer stressed.
Remember, analytics company Chainalysis participated in the establishment of the Cryptocurrency Investigations Centre in Western Canada. It went live in April 2023, after which the firm said it plans to replicate the initiative in other jurisdictions.
In late 2022, Canada introduced a ban on margin trading and leveraged crypto investment products.
In February 2023, regulator Canadian Securities Administrators (CSA) gave fintech firms and exchanges just a month to pre-register. Both measures are part of the authorities’ strategy to minimize the risks specific to the industry.
And both measures are part of the authorities’ strategy to minimize the risks specific to the industry.