The Australian division of crypto exchange Binance will complicate the registration process for new users in order to protect customers who are listed as the most vulnerable to fraud and hacks.
According to the CEO of the exchange, Leigh Travers, the company has been actively working on ways to protect vulnerable users for a long time:
“We look at three main areas: user adoption on the platform, the use of the platform itself, and the moment a user encounters fraud.”
Lee stressed that often the victims of fraud are elderly people living far from large cities, or people with disabilities. The company made such conclusions on the basis of studies of various public and private agencies involved in financial crimes:
“There are many different types of scams, but investment scams have always been the most popular. We believe that this applies not only to cryptocurrency fraud, but also to investment fraud, with securities.”
To gauge the level of knowledge of new users about cryptocurrencies, Binance Australia launched a quiz with KYC (know your customer) elements, designed to highlight potential suspicious activity during the registration stage by finding out if a scammer is registering under a false name. According to representatives of the exchange, most of the vulnerable users usually become victims of scammers within the first seven days from the date of registration on the platform.
Earlier, one of the users accused Binance that the exchange blocked his corporate account and unreasonably deducted a huge amount from the account.
Source: Bits
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