Blockchain security auditor Hacken has unveiled a cutting-edge tool designed to automate security and compliance processes for web3 businesses as the deadline for MiCA and DORA regulations approaches. This new solution, called “Extractor,” aims to help web3 businesses comply with regulatory standards such as Europe’s MiCA and DORA in a streamlined and efficient manner.
According to Hacken’s co-founder and CEO, Dyma Budorin, the development of Extractor was driven by the growing need for proactive monitoring and compliance in the crypto space. The Tallinn-based firm touts Extractor as a comprehensive compliance monitoring framework for web3 projects, enabling businesses to meet regulatory requirements with ease.
Unlike other available solutions, Extractor combines AML/CFT monitoring, transaction tracking, total value locked analysis, and circulating supply detection into a structured compliance approach. Additionally, it integrates real-time threat detection, automated safeguards, and post-incident reporting to ensure continuous protection and operational resilience.
Hacken’s legal counsel, Valentyna Kondratenko, emphasized the importance of compliance with DORA’s requirements, which will become enforceable starting January 17, 2025. Non-compliance could lead to severe penalties, including fines of up to 2% of the total annual worldwide turnover or 1% of the average daily global turnover.
The Extractor solution is compatible with multiple blockchain networks, including Ethereum and BNB Chain, formerly known as Binance Smart Chain, expanding its potential applications. This versatility allows web3 businesses to leverage Extractor’s capabilities across different platforms.
The implementation of MiCA regulations has posed challenges for crypto companies looking to operate in the European market. For instance, Coinbase had to discontinue USDC rewards for EU clients due to MiCA and later delisted Tether (USDT) from its European platform.
As the deadline for MiCA and DORA regulations looms closer, web3 businesses are increasingly seeking solutions like Extractor to ensure compliance and security in an ever-evolving regulatory landscape. With its advanced features and comprehensive approach to compliance monitoring, Extractor could become a valuable asset for businesses navigating the complexities of regulatory compliance in the crypto space.