Blockchain analytics unable to prevent FTX-level illicit schemes
Blockchain tracker Whale Alert has attempted to scan FTX’s historical balance checks to find out whether it was possible to spot the collapse sooner. Data transparency has been a focal point for the crypto industry, but the FTX fiasco has shown that centralized exchanges (CEX) are not transparent enough. So far, crypto analytics firms are apparently not capable of tracking transactions to prevent collapses like FTX. All Bitcoin (BTC) transactions are available publicly on-chain, which enables tracking such transactions when sending crypto from one address to another. However, this is not the case when it comes to interacting with a centralized crypto exchange. Cointelegraph spoke with executives at blockchain intelligence firms, including Chainalysis, Nansen and Whale Alert, to learn more insights about tracking illicit CEX transactions on-chain. According to Chainalysis, a major Blockchain Data platform that cooperates with many governments across the world, there is currently no on-...