Chainalysis Delivers AML Compliance Solution to Bitfinex
- Chainalysis expanded its coverage and now screens 41 cryptocurrencies, stablecoins and ERC-20 tokens.
- Both Chainalysis and Bitfinex executives were thrilled about the partnership and what the other company offers to their customers.
Chainalysis booth at a conference. CoinDesk
The blockchain analysis firm, Chainalysis, rolled out its anti-money laundering compliance product with Bitfinex worldwide. With the new solution the digital assets and cryptocurrencies trading platform will be able to detect and restrain fraudulent activities and money laundering.
This valuable solution comes right in a moment when founding legitimate compliance procedures are more important than ever, due to the huge scrutiny cryptocurrencies face with jurisdictions all around the world.
Chief Revenue Officer at Chainalysis, Jason Bonds spoke of the partnership with Bitfinex:
“We are thrilled to work with Bitfinex as we mutually invest in supporting multiple cryptocurrencies. Bitfinex is known as a destination for cryptocurrency traders seeking liquidity across various cryptocurrencies, and that volume requires an automated blockchain analysis solution in order to comply with regulations across the world.”
Earlier in 2019, Chainalysis broadened its operations beyond Bitcoin and currently works with 41 additional cryptocurrencies such as Ether, Litecoin, Bitcoin Cash and leading ERC-20 tokens and stablecoins like Tether, Dai and Maker.
With the help of Chainalysis KYT (Know Your Transaction), Bitfinex and similar crypto-focused businesses can audit huge volumes of crypto movement, detecting frequent transactions that contain a high risk.
Some of the riskiest activities would raise alerts which will trigger compliance teams to focus on the most delicate cases and enforce compliance procedures.
“Chainalysis is a top-of-the-line, comprehensive and privacy-safe compliance solution aligned with what we were seeking to keep bad actors off of our platform, while protecting the privacy of our users,” commented the Chief Compliance Officer of Bitfinex – Peter Warrack.
“The solution does not share information identifying users, which is kept strictly in-house. We are excited to work alongside the Chainalysis team to continue to build out a safe and robust platform for our users.”
The ecosystem is still being shaped by new regulatory necessities and all organizations that do not comply with the obligations will instantly fall behind the competition.
Chainalysis made huge improvements on their platform during the course of a year, and can now comfortably support various blockchains ahead of international regulatory guidance.
- The updated KYC checks will be introduced on 15 July, after which new users will be required to complete the process in order to gain full access to the exchange’s services.
- Existing users who fail to complete the KYC checks will face limitations on the platform, such as being unable to deposit new funds and only having access to certain services.
Shutterstock
- The 1,400-page document lists the names of all users eligible for withdrawals, as well as the conditions that they need to meet in order to withdraw their assets.
- The bankruptcy court has permitted Celsius to return 94% of each eligible user’s assets, but only after their account has been updated with AML and KYC data.
- The U.S. Department of Justice worked together with the Federal Bureau of Investigations, Treasury Department, and French authorities to take down the laundering operation.
- Crypto Twitter, however, was not impressed with the “major international cryptocurrency enforcement action” against the little known platform.