Chainalysis Proposes Blockchain Tracing Standards for Banks

Chainalysis has sent a letter to the Federal Deposit Insurance Corporation (FDIC) proposing standards for blockchain tracing technology. The proposed benchmarks cover clustering accuracy, entity and chain coverage, data update frequency, and independent verification.

The firm's goal is to establish a 'quality scorecard' for analytics tools used by banks and payment stablecoin issuers to separate legitimate transactions from suspicious ones.

Chainalysis claims its own clustering tools achieve true positive rates up to 94.85% with false positive rates below 0.15%. The firm also highlights that it currently covers more than 27 blockchains.

The FDIC has eased notification requirements for crypto-related activities, making it simpler for banks to engage with digital assets without triggering regulatory alarm bells.