Definition ∞ Fund tracking involves monitoring the movement and location of digital assets across various addresses and platforms. This process is essential for compliance, security, and financial transparency within the cryptocurrency ecosystem. Advanced analytics tools are frequently employed to trace transactions on public blockchains.
Context ∞ Fund tracking is a critical component of anti-money laundering and counter-terrorist financing efforts in the digital asset space. Law enforcement agencies and compliance departments routinely utilize these techniques to investigate illicit activities. News reports often detail how fund tracking aids in recovering stolen assets or identifying actors behind scams.
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