A recently announced partnership will help Binance continue its development in security, know your customer (KYC) and anti-money laundering (AML) areas.
In a March 26 blog post, the exchange unveiled a partnership with RegTech company IdentityMind. According to its official website, the “RegTech Compliance Solutions” firm uses “Identity Fraud Prevention, KYC and AML solutions powered by Electronic DNA™” to battle against criminal activity.
On a worldwide scale for its operations, Binance looks in this partnership to elevate the industry norm concerning data safety and compliance, as expressed by the exchange in its blog post.
The exchange’s CCO (chief compliance officer) Samuel Lim said in the post:
The partnership between Binance and IdentityMind further strengthens our compliance capabilities and our commitment to re-invest in the blockchain ecosystem and grow it […] We continue to evolve and enhance security systems while adhering to regulatory mandates in the countries we operate in. The goal is to foster greater trust among financial institutions worldwide.”
IdentityMind president and CEO Garrett Gafke acknowledged in the post that compliance for Binance is on the tougher side with its high trading volume, as well as its bold roadmap for growth. “Our risk and compliance platform powered by a patented digital identities engine meet the scale demands of Binance’s global operations while providing a highly accurate system for assessing any global risk factors from outside entities for transactions,” he added.
Crypto space maturity continues
The crypto bear market of 2018 and 2019 has brought with it significant regulatory talk and development.
The U.S. Securities and Exchange Commission has stepped up its activity over the past year regarding initial coin offerings (ICOs), as well as its work toward examining numerous different bitcoin exchange-traded fund (ETF) proposals.
In a letter to Coin Center on the topic of ethereum’s status as a security, SEC chairman Jay Clayton also described multiple initiatives the agency is involved in regarding the crypto space. One of the activities includes the SEC’s FinHub for SEC engagement on innovation, helping to bring clarity to the FinTech industry.