Beacon Network Crypto Assets security network launched: Real-time freezing of illicit funds, TRM Labs collaborates with mainstream CEX to create Blockchain crime interception chain

The Beacon Network, led by TRM Labs, officially launched on August 20. This is the first end-to-end Crypto Assets crime real-time response system, designed to detect, tag, and block suspicious on-chain transactions within minutes. Alliance members include companies such as Coinbase and PayPal, as well as federal law enforcement agencies, working together to build an on-chain security firewall through shared threat intelligence, aiming to enhance the security of the Crypto Assets ecosystem and rebuild user trust.

Beacon Network Crypto Assets Crime Defense Alliance Officially Established The cryptocurrency industry giants, law enforcement agencies, security researchers, and fintech companies have jointly established the Beacon Network—a secure network capable of responding in real-time to cryptocurrency crimes and freezing illicit funds before they are laundered or withdrawn. This initiative, led by blockchain security company TRM Labs, was announced on August 20 as the first end-to-end digital asset crime "interception chain," capable of identifying, tagging, and blocking suspicious blockchain transactions within minutes.

TRM Labs leads Beacon Network founding members Founding members include cryptocurrency exchanges such as Coinbase and Robinhood, payment platforms like PayPal and Stripe, and compliance sector companies like Ripple, Anchorage Digital, and Blockchain.com. These members will collaborate with "major federal law enforcement agencies" to mark suspicious wallet addresses and share intelligence across the network.

How does the Beacon Network enhance the security response mechanism for Crypto Assets? TRM Labs stated that the Beacon Network marks a turning point in the response strategy to Crypto Assets crime—from isolated lagging to multi-party collaborative real-time response. The network aims to intercept stolen funds, allowing affected platforms to take action before the funds flow into fiat exchange channels. Participants expect it to enhance user protection and rebuild trust in the industry.

"Safety and trust are the cornerstones of Crypto Assets, and maintaining the integrity of the ecosystem is a shared responsibility of the entire industry," said Antonio Alvarez, Chief Compliance Officer of Crypto.com. Members contribute by sharing verified intelligence, monitoring flagged wallets, and assisting authorities with on-chain fund tracking.

Beacon Network Operation Mechanism Analysis: Real-time Threat Intelligence Sharing and Automatic Alerts The network operates based on automated alerts and an ever-expanding database of marked addresses. Once investigators or the platform identify suspicious activities and mark addresses, the system will automatically propagate the tags to associated wallets. If illicit funds are transferred to any participating exchange, the platform will immediately receive an alert and intercept the transaction before the funds are withdrawn.

To prevent abuse, only vetted users (such as law enforcement agencies, compliant exchanges, and certified security researchers) can mark addresses. TRM Labs emphasizes that each marking must have sufficient evidence and clear intent of action, otherwise it will undermine the credibility of the system.

The Beacon Network has successfully intercepted millions of dollars in illicit funds TRM Labs revealed that the network has assisted in recovering millions of dollars in stolen funds. Typical cases include: $1.5 million marked and frozen in a multinational scam; in another case, $800,000 suspected of being scam funds was intercepted before the criminals could withdraw it. The network focuses on nation-state hacking attacks, scams, and terrorism financing, particularly targeting illegal networks operated by North Korean IT workers and hacker groups—according to TRM statistics, they account for a significant proportion of global Crypto Assets theft cases.

In the first half of 2025, losses from Crypto Assets crime exceeded $2.1 billion The first half of 2025 became one of the most severe Crypto Assets crime cycles on record, with 75 attack incidents occurring in just the first six months, resulting in losses exceeding $2.1 billion. Infrastructure attacks (such as private key theft and front-end vulnerabilities) are the main cause. Among them, the February attack on Bybit by North Korean hackers resulted in losses of $1.5 billion, accounting for nearly 70% of the annual total, with over ten thousand money laundering transactions occurring within the first month, highlighting the rapid speed of fund transfer.

Beacon Network predecessor: T3 Financial Crime Prevention Unit Beacon originated from the T3 Financial Crimes Unit (T3 FCU) established a year ago by TRM Labs, Tether, and TRON, focusing on real-time tracking of illegal fund flows on-chain. The T3 FCU primarily monitors USDT activities on the TRON chain and has frozen over 100 million dollars in illegal assets.

Conclusion The launch of the Beacon Network marks a new phase in the collaborative defense of Crypto Assets security. Through real-time data sharing between industry-leading platforms and law enforcement agencies, the response speed and interception efficiency for on-chain crimes are expected to significantly improve, providing critical infrastructure for building a safer environment for Crypto Assets transactions. In the future, as more institutions join, this system may become the core defense line globally against digital currency crimes.