The Japan-based cryptocurrency exchange, BITPoint, has announced, jointly with Chainalysis, that they will use Chainalysis Reactor, Chainalysis’s investigation software, to “identify and trace funds and provide comprehensive investigation support across multiple cryptocurrencies”.
In 2019, BITPoint was one of dozen crypto exchanges to be hacked, losing around $28 million in cryptocurrency holdings. The exchange did later announce that lost customer funds will be reimbursed, but the damage was done.
According to Takashi Tashiro, general manager of corporate planning at BITPoint, Chainalysis’s help during that period of crisis helped the company get back on its feet:
“Chainalysis’s industry leading investigation software and professional services team helped guide us through an extremely difficult, challenging time at BITPoint. After seeing the tremendous capabilities of Chainalysis Reactor and working with the team under significant pressure, we realized the importance of continuing to work alongside Chainalysis to maintain ongoing investigations of suspicious activity and build a safe, robust platform for our users.”
After the hack, Chainalysis helped BITPoint trace the stolen funds by analyzing over 1 million transfers using Chainalysis Reactor. Once cashout destinations were identified, crypto businesses were alerted of the addresses involved.
Jason Bonds, CRO at Chainalysis, commented on the collaboration with BITPoint:
“Businesses like BITPoint are increasingly targets of hacks, especially those located in Asia. Our goal at Chainalysis is to not only help manage difficult situations like hacks, but also to arm our customers with the proper investigation software and support to ensure long-term regulatory compliance. That’s why we’re investing in the Japanese market to provide local support.”