Australian crypto exchange network Swyftx and Blockchain forensic firm TRM Labs recently collaborated to combat an escalating issue of cryptocurrency fraud.
As part of the collaboration, the duo aims to reduce the millions of losses Aussies face because of cryptocurrency fraud.
Swyftx and TRM Labs Collaborate
The duo announced a novel project that will pay Australians to protect themselves against cryptocurrency fraud.
Per the documentation, the initiative will reward about 2000 customers with AUD 10 ($6) each. To qualify for the reward, each must activate 2FA and complete a safety course co-created by Swyftx and TRM Labs.
The COO of Swyftx, Jason Titman, expressed excitement and high hopes for the new collaboration. Titman also mentioned that the exchange has already thwarted $2m worth of crypto scams.
He said;
“Most fraud begins on social media platforms before it makes its way through the banking system and then to exchanges. We are the last line of defense and everyone has a part to play in creating a more secure environment.”
Esteban Castaño, TRM Labs Chief Executive, reacted to the developments, saying, “Proactively spreading knowledge and awareness is key to combating scams.”
The report hailed TRM’s ability to spot scams and frauds in the crypto realm. In a 2022 report, TRM reported that over $9 billion in crypto was sent to fraud schemes, with Aussies losing AUD 221 million.
Increasing Need for Fraud Awareness
The recent collaboration comes in light of an alarming rise in crypto scams. In April this year, Australian regulators reported that con artists have been funnelling billions in stolen funds through crypto operators. This represents an 80% surge in total loss since 2021.
This new collaboration arose after an alarming incident this month. In the scam, an individual withdrew 1282 ETH from the CoinSpot crypto exchange. They later exchanged it for WBTC and other stablecoins, including USDC and USDT, through UniSwap.
This trial coincides with a national campaign by Swyftx encouraging crypto users in Australia to ‘Resist, Research, Report.’ Users must resist sending money to suspicious crypto wallets, research new projects and report suspected fraudulent activity.