Investigating cryptocurrency scams needs help

Crypto analytics firm CipherTrace has launched the Defenders League, a student training program for investigating cryptocurrency scams. The project is implemented in collaboration with the Middlebury Institute for International Studies in Monterey, Middlesex University London and the Blockchain Acceleration Foundation (BAF).

John Jefferies, CipherTrace’s financial analyst, told Cointelegraph that the “Defenders League” goal is to make the crypto ecosystem safer for consumers and investors.

According to Jefferies, CipherTrace will train and certify students to use its financial investigation software. It is used to detect money laundering, support for investigations by law enforcement and supervisory authorities.

The program will be free for students and CipherTrace offers a $ 4.3 million grant for the Defenders League. Jefferies mentioned that students in the program will receive course credits. At the same time, they will provide services to help recover losses that are too small for the authorities to investigate.

Participants will learn how to use the professional version of the company’s software – CipherTrace Investigator Plus – which accepts over 800 tokens.

The Defenders League will initially consist of graduates from Middlebury and Middlesex, along with BAF students from nine universities in California.

Investigating cryptocurrency scams needs support

CipherTrace’s director of research and education, Pam Clegg, said:

“We have registered a significant increase in requests for investigative and analytical support for fraud and theft cases. The CipherTrace Defenders League will be an elite body of knowledgeable blockchain students who can conduct smaller-scale investigations. Their objective will be to produce actionable information and evidence that can be used to recover the stolen funds and ultimately the criminal prosecution of those criminal actors responsible for losses. “

CipherTrace reported that the value of thefts, scams and frauds already reached over $ 4 billion by the end of 2019. The situation underlined the need for urgent implementation of solutions to help combat crypto crime. Jefferies explained:

“Collaborating entities will provide students with training and tools to investigate cryptocurrency fraud cases. They will contribute to improving the health of the ecosystem for everyone. ”

Currently, Jefferies told Cointelegraph that CipherTrace is working on an initiative to grant software licenses to researchers and instructors at other universities. He noted that CipherTrace, together with BAF, is actively discussing bringing more institutions on board to join the Defenders League.

Professor Sukhvinder Hara from Middlesex London University said that the training that CipherTrace offers will improve their employment opportunities:

“Being the only university in the UK that can use commercial cryptocurrency investigation software, it improves the employability of our students, especially as they can get certified by CipherTrace authorized investigators. “