Gibraltar Adopts Bill to Protect Cryptocurrency Customers

The Digital Ledger Technology (DLT) Regulatory Framework went into effect on January 1
03 January 2018   889

Gibraltar has adopted a bill designed to protect customers of cryptocurrency businesses and its own reputation, went into effect on January 1. The regulation targets blockchain technology – companies storing and transmitting value must now be licensed by the Financial Services Commission (GFSC).

The Digital Ledger Technology (DLT) Regulatory Framework has been introduced after last month the Legislature of Gibraltar approved a bill designed to update its financial services regulations. It laid down the foundation for new legislation governing the cryptocurrency sector in the territory with financial services and online gambling still considered the major pillars of the economy.

The new Regulatory Framework designed to protect rights and interests consumers. Every DLT provider should communicate with its customers in a way which is fair, clear and not misleading and have proper regard to risks to its business and customers. Companies must also have effective arrangements in place for the protection of client assets and money, including contingency, disaster recovery and crisis management plans.

Binance to Join Forces With IdentityMind

IdentityMind provides exchanges with ability to comply with KYC\AML worldwide
26 March 2019   86

Binance announced an agreement with IdentityMind, which will help it ensure compliance with regulatory requirements and improve data security.

IdentityMind provides cryptocurrency exchanges with access to the platform, thanks to which they can monitor compliance with customer identification and anti-money laundering requirements in real time. This includes connecting new customers, managing their profiles and monitoring transactions.

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.
 

Samuel Lim

Chief Compliance Officer, Binance

Last year, Bloomberg wrote about the Binance user identification system as the least strict in the entire industry, and linked the “level of anonymity” provided by the exchange with the risks of money laundering and market manipulation.

In October, Binance entered into an agreement with a supplier of transaction analysis software on the blockchains Chainalysis, and in November with Refinitiv, which developed an automated solution for client verification.

Whether the ordinary users of the platform will feel the impact of the integration of IdentityMind tools on themselves, the exchange does not specify.