Illegal activities on popular exchanges continue to grow just as cryptocurrency adoption increases.
Many exchanges have therefore considered delving deeper into the security system space in order to tackle such illegal attempts and to get a better understanding of such activities.
Under that context, Bittrex has announced the inclusion of Chainalysis’ “know your transaction (KYT)” in order to spot high-risk transactions.
Bittrex has incorporated Chainalysis’s KYT kit in order to align to new regulatory standards. This kit is a software designed to deliver effective solutions such as monitoring high volumes of activity happening in the crypto space. This way, it helps in the proper identification of high-risk transactions. After the announcement of the update, Bill Shihara, CEO of Bittrex, added,
“As our business continues to grow, having a thorough and reliable transaction monitoring system in place is crucial in demonstrating our commitment to compliance. Chainalysis KYT is an important tool in having an effective anti-money laundering program by helping us prevent, detect, and address unlawful behaviour.”
Bittrex can leverage Chainalyis’s real-time transaction monitoring solutions that are currently being offered for a significant number of cryptocurrencies.
During the start of 2019, Chainalysis expanded its Chainalysis KYT; its anti-money laundering (AML) compliance solution so that it can cover the most popularly traded digital assets such as Ether (ETH), Bitcoin Cash (BCH), Litecoin (LTC) and many top stablecoins.
It also covered major ERC-20 tokens such as Tether, Maker, and DAI, with more announcements coming later, regarding the addition of more cryptocurrencies.
As Chainalysis KYT is designed to make the assessment task easier by automating the entire procedure, major cryptocurrency businesses and financial institutions have started using it for meeting the instructed regulatory requirements as well.
In the current scenario, Chainalysis KYT covered almost 25 cryptocurrencies that form 85% of the top 100 list by trading volume.
Singapore’s central bank to develop prototype for cross-border payments
Monetary Authority of Singapore [MAS] recently revealed that it had collaborated with banking giant J.P. Morgan in order to develop a blockchain-based prototype.
J.P. Morgan has always been bullish toward blockchain tech and cryptocurrencies. The banking giant went on to launch its native digital currency, JPM. Its latest partnership with MAS would allow payments of multiple currencies on one network. Investment company, Temasek Holdings, is also part of MAS’s latest venture.
Sopnendu Mohanty, Chief FinTech Officer at MAS stated that MAS is looking forward to building their network by connecting with several others. Mohanty further said,
“We hope this development will encourage other central banks to conduct similar trials, and we will make the technical specifications publicly accessible to accelerate these efforts. This will be a big step forward in making cross-border transactions faster, cheaper, and safer.”
In order to discover its capabilities to integrate with commercial banking applications, the prototype is currently undergoing industry testing. The applications that were successfully tested would be revealed at the Singapore FinTech Festival and Singapore Week of Innovation and TeCHnology (SFF x SWITCH) 2019.
Previously, MAS had introduced Project Ubin, which was established to look into Distributed Ledger Technology [DLT] primarily focusing on the authorization and settlement of payments and securities. The latest prototype would drive the project into its fifth phase which would “determine the commercial viability and value of the blockchain-based payments network.”
The Global Head of Clearing and Interbank Information Network [IIN] at J.P. Morgan, John Hunter expressed his thoughts on the latest partnership and said,
“J.P. Morgan is excited to be an infrastructure partner of MAS and Temasek for Phase 5 of Project Ubin. By leveraging our key learnings from building the Interbank Information Network® (IIN) and the JPM Coin, J.P. Morgan is well-positioned to support the development of a blockchain-based payments network and operate at scale.”
Additionally, MAS revealed that Accenture would be publishing the project report in early 2020 with details pertaining to the several use cases of blockchain technology that would bolster payment networks.