LONDON — Coinfirm, a global leader in blockchain analytics and crypto AML, today announced the launch of an all-in-one FATF Travel Rule solution to help Virtual Asset Service Providers (VASPs) and regulators better manage the risk of cryptocurrency transactions. The solution delivers on recommendations made by The Financial Action Task Force (FATF) in their quest to develop policies that combat international money laundering, known as the Travel Rule.
The Travel Rule states that “all originators and beneficiaries of all transfers of digital funds must exchange identifying information,” and applies to all financial institutions, Virtual Asset Service Providers (VASPs), and obliged entities involved in the exchange of virtual assets. As a result, all crypto transactions above a certain threshold now require identifying information from both the sender (originator) and the receiver (beneficiary). All FATF Members and Observers, (37 member jurisdictions and two regional organisations, which represent the majority of financial centres around the globe), are expected to develop regulations that realise the intent of this rule.
Moving swiftly, in response to the FATF regulation, Coinfirm has released a solution for the above mentioned entities.
Coinfirm CEO, Paweł Kuskowski:
“For FATF Travel Rule compliance there are two parts to consider when you are talking about full compliance. One is part is technological and the other is regulatory. Really anyone who is touching this has to include both regulatory and technical perspectives.”
In accordance with all of FATF’s guidelines, Coinfirm has created an all-in-one Travel Rule solution enabling the easy transfer, registering and reporting of all necessary data, in compliance with FATF recommendations. It also enables the exchange of personal data between VASPs to comply with the EU General Data Protection Regulation (GDPR).
Easy to integrate and operate, the solution has three core components:
- Exchange of information: Coinfirm’s platform executes the secure exchange of information between VASPs, delivered using open P2P protocols and advanced cryptography methods.
- Audit trail: Coinfirm’s Trudatum software oversees the marking of data and documents, verifying that they have not been manipulated over time. This will include secure transaction fingerprint registration and storage.
- Management of transaction risk: Coinfirm’s solution includes transaction risk monitoring and analytics for transfers of virtual assets between VASPs, delivered by Coinfirm’s innovative, market-leading AML platform.
Coinfirm CEO, Paweł Kuskowski:
“We believe the launch of this new solution will help VASPs and regulators make great strides towards normalising crypto transactions as part of the overall global economy, this is the last frontier. In addition, it will help them follow the recommendations of the Travel Rule more quickly and more seamlessly than by attempting to build their own platforms.”
Coinfirm is a global leader in AML and regulatory technology for blockchain and cryptocurrencies. It offers the industry’s largest blockchain coverage, supporting over 1,400 cryptocurrencies and protocols including Bitcoin, Ethereum, Hyperledger, and many more. Coinfirm’s solutions are used by market leaders globally, ranging from crypto exchanges such as Binance, and protocols like XRP, to major financial institutions like PKO BP. The company’s services also include Reclaim Crypto in partnership with Kroll, as well as Trudatum, a standalone regtech platform that allows any file to be registered, signed, and verified with 100% accuracy.