Bitrace Unveils 2024 Web3 Anti-Fraud Handbook for Safer Investments

• Bitrace’s handbook educates users on identifying and avoiding common crypto fraud schemes in the Web3 space.
• TRM Labs integration with Sonic boosts institutional security by enhancing transaction monitoring and risk management.

Bitrace has launched the “2024 Web3 Anti-Fraud Handbook,” which aims to address the growing threat of crypto-related scams and fraud. Based on thorough research of actual fraud instances, this book breaks down the most often utilized methods employed by scammers now.

From individual investors to those with little industry participation, the manual is especially meant to assist a wide spectrum of users in spotting and avoiding false schemes, therefore safeguarding their investments.

Crypto Wallet Integration: A Double-Edged Sword for Security and Fraud Risks 

As Web3 grows quickly and decentralized finance (DeFi) is becoming more popular, fraudsters are discovering new ways to take advantage of the naive. Bitrace’s main focus is on the emergence of crypto frauds enabled by Web-based wallets included in prominent trading platforms such as OKX and Binance.

These wallets have opened the door to various advanced fraud techniques, even while they improve the user experience by linking centralized and distributed finance.

Among the prevalent frauds are bogus stablecoin programs meant to fool inexperienced users and false liquidity pools offering great rewards. These sites may give a sense of authenticity, which helps scammers build users confidence and then corrupt their assets.

Bitrace stresses the requirement of trading systems using strong security mechanisms to offset these hazards. Among the suggestions are using instructional materials to help users better grasp on-chain security, enforcing functionality restrictions on new users to stop hasty judgments, and working with outside security firms to find and stop dishonest behavior.

Moreover, the 2024 Web3 Anti-Fraud Handbook advises more sophisticated solutions like improved network monitoring of dubious behavior and cross-chain security systems. Web3 systems can thus provide safer surroundings for novice and seasoned investors.

This proactive approach is absolutely vital as scattered ecosystems keep expanding and draw both actual users and possible frauds.

On the other hand, CNF previously reported that the way Sonic is integrated with TRM Labs improves transaction monitoring and risk management for institutional digital asset security.

Sonic uses the features of TRM to offer advanced compliance solutions, therefore guaranteeing careful monitoring of transactions for suspicious activity. This extra layer of security enhances institutional asset security and supports the more general initiatives across the sector aiming at fraud prevention.