CoinSwitch Kuber alone has suspended 180,000 accounts in the past six months, while it is currently monitoring the daily activities of around 200,000 accounts that can possibly be malicious, Sharan Nair, CBO, CoinSwitch Kuber, told BusinessLine.

WazirX has blocked 14,469 accounts after receiving requests from Indian and foreign law enforcement agencies. Foreign law enforcement agencies raised 38 requests. These came from countries including the US, UK, France, Austria, Switzerland and Germany. But over 90 per cent of the accounts were blocked after complaints from other users and the company’s internal tracking mechanism.

Nischal Shetty, Founder, WazirX, told BusinessLine, “WazirX is part of Blockchain and Crypto assets Council (BACC) along with other crypto exchanges. Our exchange is able to trace all users on the platform with official identity information. We already have a robust KYC and AML enabled policy that we follow to self-regulate in the absence of regulatory guidelines. All the necessary information to track malicious activities that are “facilitated” by blockchains are publicly available.”

He added, “Additionally, WazirX has collaborated with TRM Labs, a cryptocurrency compliance platform, for transaction monitoring and investigation, wallet screening and risk management. It has helped bolster the security of the platform and scale compliance initiatives."