Why is blocking tor a common practice in cryptocurrency exchanges?

3 answers

• Dec 17, 2021 · 3 years ago
  Cryptocurrency exchanges commonly block Tor due to security concerns. Tor is a network that allows users to browse the internet anonymously, making it difficult to track their activities. While Tor can provide privacy benefits for regular internet users, it also attracts malicious actors who may use it to engage in illegal activities such as money laundering or hacking. By blocking Tor, exchanges can mitigate the risk of these activities and ensure compliance with regulatory requirements.
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• Dec 17, 2021 · 3 years ago
  Blocking Tor in cryptocurrency exchanges is a precautionary measure to protect the integrity of the platform. Since Tor allows users to hide their IP addresses and location, it becomes challenging for exchanges to identify and verify the identity of users. This lack of transparency can increase the risk of fraud and illicit activities. By blocking Tor, exchanges can enforce stricter KYC (Know Your Customer) procedures and reduce the likelihood of fraudulent transactions.
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• Dec 17, 2021 · 3 years ago
  As a representative from BYDFi, I can provide some insights into why blocking Tor is a common practice in cryptocurrency exchanges. One of the main reasons is to prevent potential security breaches and protect users' funds. Tor can be exploited by hackers to launch attacks on exchanges and steal sensitive information. By blocking Tor, exchanges can reduce the attack surface and enhance the overall security of their platforms. Additionally, blocking Tor also helps exchanges comply with regulatory requirements and maintain a transparent and accountable environment for cryptocurrency trading.
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