Cryptocurrency fraud, including phishing, ransomware, and Ponzi schemes, generates enormous sums of illicit funds. AML tools are on the front line of defense against these crimes. By analyzing blockchain data, they can identify wallets connected to known fraud campaigns and track the movement of stolen assets. This allows exchanges to freeze funds upon deposit and helps law enforcement with investigations. For individual users, checking a wallet’s history can reveal if it is associated with a known scam. This preventative measure is powerful. Always perform a crypto aml check before engaging with any unfamiliar platform or offer.
