{"id":13433,"date":"2022-08-30T09:07:23","date_gmt":"2022-08-30T09:07:23","guid":{"rendered":"https:\/\/nftandcrypto-news.com\/crypto\/binance-aus-ramping-up-measures-to-protect-vulnerable-users-says-ceo\/"},"modified":"2022-08-30T09:07:25","modified_gmt":"2022-08-30T09:07:25","slug":"binance-aus-ramping-up-measures-to-protect-vulnerable-users-says-ceo","status":"publish","type":"post","link":"https:\/\/nftandcrypto-news.com\/crypto\/binance-aus-ramping-up-measures-to-protect-vulnerable-users-says-ceo\/","title":{"rendered":"Binance Aus ramping up measures to protect vulnerable users, says CEO"},"content":{"rendered":"
<\/p>\n
Binance Australia is tightening up its onboarding process for new users as part of a push to protect users it has flagged as most vulnerable to financial crypto crime. <\/p>\n
The new measures were mentioned in Binance Australia\u2019s June quarter Economic, Social, and Governance (ESG) report on Monday, which noted that the exchange was working on a \u201cstringent and user-focused onboarding experience\u201d aimed at groups with a higher occurrence of financial crime. <\/p>\n
Speaking with Cointelegraph, Leigh Travers, CEO of\u00a0Binance Aus,\u00a0and Zachary Lu from the exchange\u2019s Financial Crime, Risk and Compliance unit, noted the company has been actively working on ways to protect \u201cvulnerable users,\u201d which starts from the onboarding process. <\/p>\n
\u201cFrom the whole financial management perspective, we are really looking at it from end to end and also from a whole life circle’s perspective,\u201d said Lu:<\/p>\n
\u201cWe are looking at three main areas: onboarding, ongoing and at the end of the life cycle [the point of time in which someone is scammed].\u201d<\/p><\/blockquote>\n
Lu outlined that the general type of people Binance has flagged as vulnerable users are the elderly, people that live in remote areas or those with disabilities. Such conclusions were the result of working with various government and research agencies focused on financial crime, he added.\u00a0<\/p>\n
The duo emphasized that the company is paying a particular focus to investment scams, in which criminals promise inordinate returns on investments to dupe people into sending them money. <\/p>\n
This type of scam has cost Australians millions worth of crypto, with a recent report from Scamwatch estimating that $25 million was lost\u00a0in the first half of 2021 due to bogus investment schemes.<\/p>\n
\u201cThere are 500 different scams, but investment scams are always on the top of it. So this is not exclusive to crypto scams to be honest, but investment scams overall ranked number one for a long, long time,\u201d Lu noted. <\/p>\n
To determine the scope of a new user\u2019s crypto knowledge and to ascertain whether they have been guided by a bad actor to sign up under false pretenses, the firm recently rolled out a Know Your Customer- (KYC)-focused quiz that enables them to flag any potentially suspicious activity:<\/p>\n
\u201cSo in terms of the data there, it’s only recently been implemented. So we don\u2019t have sort of the analysis of how that’s how much that is going to stop. But, this user group was multiple times more likely to fall victim to these types of scams.\u201d<\/p><\/blockquote>\n
Adding to his point, Travers suggested that a high number of \u201cvulnerable\u201d\u00a0users generally fall victim to scams within the \u201cfirst seven-day window\u201d of being onboarded.<\/p>\n
Related: <\/em><\/strong>Binance froze $1M corporate account due to law enforcement request<\/em><\/strong><\/p>\n
Starting Sept. 1, Binance Aus will incorporate more stringent identification requirements as part of the user onboarding process. As such, the firm will require new users to provide a photo of their driver\u2019s license and its number at the time of signing up, as opposed to allowing it to be submitted at a later date. <\/p>\n
This will be introduced to enable Binance to promptly verify the legitimacy of ID documents as part of the on-boarding process, identify a vulnerable user and also help flag whether someone might be signing up under a stolen ID. <\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"
Binance Australia is tightening up its onboarding process for new users as part of a push to protect users it has flagged as most vulnerable to financial crypto crime. The new measures were mentioned in Binance Australia\u2019s June quarter Economic, Social, and Governance (ESG) report on Monday, which noted that the exchange was working on […]<\/p>\n","protected":false},"author":1,"featured_media":13434,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"nf_dc_page":"","om_disable_all_campaigns":false,"footnotes":""},"categories":[42],"tags":[],"class_list":["post-13433","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-crypto"],"yoast_head":"\n
Binance Aus ramping up measures to protect vulnerable users, says CEO | NFT & Crypto News<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\t\n\t\n\t\n