The blockchain analysis firm, Chainalysis, today announced the launch of an asset realization program to help government agencies to track seized cryptocurrencies as well as handle, store, and realize such assets.
Chief Revenue Officer, Chainalysis Jason Bonds believed that with cryptocurrencies becoming more mainstream, the likelihood of bad actors using it could increase. On that note Bonds further added:
As our government partners become more successful in rooting out bad actors, assisting them with asset recovery and realization is a natural next step.
Asset Reality manages and realizes confiscated assets for public and private sector clients around the world, and in its partnership with Chainalysis, aimed to provide advisory services and training regarding cryptocurrency to law enforcement agencies internationally. They also hoped to help authorities determine how to sell seized cryptocurrencies.
In recent news, the US government made the largest ever seizure of digital assets collectively worth over $1 billion. According to Chainalysis, its tools and investigative assistance helped law enforcement identify and investigate the cryptocurrency wallets used in that case, which involved funds used or intended to be used to facilitate narcotics sales on the darknet marketplace Silk Road. Moreover the firm said that the current initiative comes on the heels of the US law enforcement’s recent activities:
Following the US gov's record-breaking $1B seizure last week, we're announcing the launch of an asset realization program to help gov agencies & insolvency practitioners handle, store, realize, and monitor seized assets: https://t.co/aV3E3QVH9l
— Chainalysis (@chainalysis) November 12, 2020
Earlier this year, law enforcement actions that involved similar civil forfeiture actions against crypto assets used Chainalysis solutions which included cases related to terrorism financing and North Korean hacking activities.