Catenaa, Thursday, January 2, 2025 – Binance, the world’s largest cryptocurrency exchange, reported preventing more than $129 million from being lost to scams in 2024 through its advanced use of artificial intelligence (AI) and machine learning (ML) technologies.
In its year-end Anti-Scam Refund Initiative report, Binance revealed a robust security framework that combined cutting-edge surveillance tools with personalized user support. The company successfully processed about 80 fund recoveries per month, returning $9 million on average to victims, and issued over 15,000 daily scam alerts to users.
Binance’s approach focused on identifying suspicious activities through real-time transaction analysis using ML algorithms. It also deployed AI-powered behavioral profiling to differentiate legitimate user actions from potential criminal schemes. Throughout the year, more than 47,000 malicious wallet addresses were blacklisted.
Key innovations included the development of 50 specialized models and 14 system upgrades to counter increasingly sophisticated fraud tactics. The initiative emphasized four pillars: proactive protection, 24-hour safety mechanisms, rapid response recovery, and support for silent victims.
Among Binance’s successes were aiding Indian authorities in October to dismantle a digital asset scam, recovering $100,000 in stolen funds. In September, its Financial Intelligence Unit helped recover $47.6 million from a gaming platform scam.
Earlier in the year, Binance reported that its risk management tools had blocked $2.4 billion in potential losses, including $1.1 billion tied to suspected criminal withdrawals and $73 million frozen from external hacks.
Binance’s Anti-Scam Refund Initiative exemplifies how integrating AI and ML can protect users and bolster trust in the evolving cryptocurrency ecosystem.
