The address is pushed to Chainalysis, TRM, Crystal, and our own feeds — exchanges auto-block deposits from flagged addresses.
How flagging stops attackers and helps recover funds
Flagging addresses linked to illicit activity is one of the highest-leverage steps in preventing further use of stolen funds. The point is simple: signal to every market participant that a specific address — and its cluster — is dirty. Once that signal is live, exchanges and payment processors see the stolen funds, block the deposits, and stop the withdrawal.
In our MS Engine service and Telegram bot, flagged addresses are categorized with labels like «scam» and «stolen funds».
Why flagging matters
- Market-wide visibility. We continuously notify exchanges, payment processors, blockchain explorers, AML providers, and other platforms about newly identified criminal addresses. Our markings propagate to EVM-compatible explorers in real time, so users anywhere in the ecosystem get current risk signals.
- Cash-out gets blocked. If an attacker tries to convert stolen crypto to fiat through a CEX or payment service, the risk engine catches the transaction, freezes the funds, and escalates to law enforcement.
- Recovery becomes possible. Once funds are frozen, authorities can actually confiscate and return them. By making criminals' on-chain activity visible to the whole industry, we drastically narrow their cash-out surface.
«Can't I just flag the address myself with an AML bot?»
Technically, yes — you can submit a report to a public service. The problem:
Different exchanges use different AML providers. If the exchange isn't subscribed to the feed where your marking lives, it simply doesn't see it.
How we close that gap
Match Systems works directly with dozens of cryptocurrency exchanges, OTC desks, blockchain explorers, and analytics providers. We push attacker data into the systems that those exchanges actually pull from. That means:
- The address gets flagged inside the ecosystem the target exchange already uses.
- Asset movement is tracked in real time.
- The odds of freezing the funds before withdrawal go up sharply.
