Dapper Labs, the startup behind NBA Top Shot, announced Thursday that it will partner with the blockchain analytics firm Chainalysis.
Dapper Labs will leverage Chainalysis’ blockchain analytics tools to monitor transactions and ensure better compliance to regulatory guidelines. In particular, Dapper Labs plans to use Chainalysis’ tools Know Your Transaction (KYT) and Reactor to respectively flag suspicious activity and investigate those interactions.
“NFTs are one of the most exciting spaces in cryptocurrency, but they will only be successful in the long-term if we can ensure a safe environment for our customers,” said Naeem Bawla, Associate Director of Compliance of Dapper Labs in a statement shared with The Block. “We’re thrilled to partner with Chainalysis to keep potential bad actors off our platform, combat money laundering, and at the same time, stay on top of the quickly-evolving local and global regulatory and compliance space.”