Binance’s 8 Levels of Anti-Scam Risk Control Measures

16.01.2024

Given the crypto industry’s nascent nature, crypto is increasingly becoming a guise under which scammers place sophisticated traps. Thus, it is necessary for users to stay educated on the latest methods and understand crypto knowledge.
As a responsible industry leader, Binance deploys many tools and measures to protect users from crypto scams.
Our risk control measures are divided into eight levels according to the strength of the scam’s risk, ensuring a balance between user experience and security.

Binance’s risk control team plays an invaluable role behind the scenes. Learn exactly how they safeguard users’ assets for the world’s largest crypto exchange.

Scams have long been a prominent threat in the crypto space. Given its nascent nature, many users lack awareness of how to protect themselves, and cunning scammers are constantly developing their attacks through different means. Some of the most prominent scams include investment scams, job scams, pig-butchering scams, giveaway scams, Ponzi schemes, and more.

Scammers are pervasive. They can accurately capture their victims’ psychological profile based on their activities and even coerce them through social engineering. The enhanced sophistication of scammers and their methods often makes it difficult for many novices to guard against them. Thus, it is necessary to stay updated on the latest scam methods and protective measures.

How Binance Protects Users Against Scams

Finding a balance between security and user experience is a challenging task, yet it is a large part of our daily responsibilities. Binance implements various risk control methods to enhance our users’ awareness of anti-scam measures. We divide these into eight different levels based on the strength of the scam’s risk. As shown in the figure below, these are organized in ascending order, from customized pop-up notification to wake-up call.

Binance’s 8 Levels of Anti-Scam Risk Control Measures

Let’s dive deeper into each of these measures for your reference.

1. Customized Pop-Up Notification

Pop-up notifications are Binance’s mildest risk alert method. We will use these to notify users when they appear to be falling into suspicious scam traps. Here, we would like to remind users that if you see our pop-up window, please read the content carefully to ensure the safety of your funds.

Customized Pop-Up Notification Demo

2. Interactive Risk Assessment Form

We provide risk assessment services for special user groups, such as those who are more vulnerable to scams. The risk assessment is presented in the form of a questionnaire. Through users’ responses to the questionnaire, we hope these users will revisit the context of scam traps and anomaly points, where applicable.

Interactive Risk Assessment Form Demo

The questionnaire is designed to suit your unique circumstances, and your answers will help provide the most suitable protection. To ensure we can provide the best risk assessment services, please fill out the questionnaire carefully and truthfully.

3. Global Malicious Address Database Alert

Binance has cooperated with leading security companies in the Web3 industry to build a global address database. Based on extensive address data, we help users avoid withdrawing funds to risky addresses.

Global Malicious Address Database Alert Demo

4. Freezing Small Amounts of Commission

Ponzi schemes are one of the most prevalent scam methods in cryptocurrency. Scammers usually entice victims with a few initial “investments” so they can commit more rampant fraud. In reality, these investments are fake, designed to lure victims into more serious scams. Binance will freeze the anomaly fund flow and contact the users proactively when we identify potential victims.

Freezing Small Amounts of Commission Demo

5 & 6. Cooling-Down (1H & 24H)

As one of our mitigation measures, the cooling-down service is designed for potential victims of impulsiveness, with Binance helping them stay calm before withdrawing funds. During this hour, the withdrawal function of the potential victim will be disabled, and we will guide the user through conducting a risk investigation.

According to the strength of the risk, we divide the cooling-down period into one-hour and 24-hour windows. Users who have been placed into the 24-hour cooling-down period must be particularly careful about their current withdrawal behavior and the projects they participate in. There is a high probability that they are experiencing scams.

Cooling-Down 24H Demo

7. Chat Dissuasion

Alongside the services mentioned above, some users may want to inquire about what’s happened. They could have doubts about the pop-ups, evaluations, or interceptions that appear when they attempt to withdraw funds. In light of this, the Binance Customer Service team will step into the discussion with users to disclose the scam trap details.

Chat Dissuasion Demo

8. Wake-Up Call

The “wake-up call” is a specialized tool for victims who are deeply embedded in scam traps. Once we identify a potential victim in an urgent situation affecting a large amount of funds, our service team will immediately provide a wake-up call. Here, a customer support worker will engage in a voice call directly with the user through the Binance chat feature to provide tailored support. Direct one-to-one communication is often critical, and we have helped many potential victims avoid scams so far.

Wake-Up Call Demo

Stay Vigilant

If you’ve fallen victim to a scam, please contact law enforcement and file a report with Binance immediately. Binance works closely with various law enforcement agencies worldwide, and our cooperation often results in detections and seizures. We promise to do our best to ensure the security of user funds and actively cooperate with law enforcement agencies. However, in order to avoid causing unnecessary trouble to users, we hope they continue to heed our warnings and advice.

Our risk team works around the clock to safeguard the Binance ecosystem, ensuring a frictionless user experience through an array of advanced tools and measures. We’re always looking to improve our technology, products, and operations to best serve our users. As the landscape of crypto scams continues to develop, it is essential for Binance to continue maintaining the best protective standards and for users to remain educated on these.