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Tokenize Xchange integrated an external monitoring system to monitor transactions with cryptocurrencies

June 5, 2020

The cryptocurrency trading platform in Malaysia, Tokenize Xchange announced that it will implement crypto security tools developed by Solidus Labs. based in New York.

The company says that This will help the exchange to meet security standards from Wall Street market.

The solution from Solidus Labs uses machine learning Read thousands of factors, including behavior and market conditions Identify activities that should be checked. That supposedly Keep control over illegal business activities such as money laundering, Counterfeiting and other types of fraud.

Tokenize Xchange integrated an external monitoring system to monitor transactions with cryptocurrenciesTokenize Xchange integrated an external monitoring system to monitor transactions with cryptocurrencies

The integration took place two months later Tokenize Xchange becomes one of the Malaysian exchanges that has received full approval by its national regulator, the Malaysian Securities Commission.

Because of the Increase in illegal activities in the digital asset industry and that regulators are constantly putting pressure on exchanges improve their security systems Asaf Meir, CEO of Solidus Labs, said that External monitoring is a primary system for the exchange that wants to grow.

Security systems may be imperative

Improve regulations and security systems to control exchanges and crypto trading It could be an advance for the industry.

Many jurisdictions such as Hong Kong and Malaysia have already clarified this exchange need an external monitoring provider from the market to get a license, said Meir.

“Regulators around the world are working on a similar framework, and we expect these surveillance systems to work almost everywhere soon, definitely on a regulated basis.”

Meir also noted that “exchanges are taking serious steps towards market integrity They are the ones who get institutional customers. “

Application challenges

Meir explained that There are always problems with the integration of security systems on exchanges. Especially when it comes to that Monitoring cryptocurrency transactions.

“Crypto assets manage markets fundamentally different in terms of data structures, regulatory system and new forms of risk of manipulation of funds, “he said.

As a result Integration doesn’t just become a very complex process but also very expensive. Hence many exchanges You don’t find the idea very attractive the integration of the security system in the market, concluded Meir.