Bybit, the fastest growing cryptocurrency exchange, is now a member of VerifyVASP Alliance. With this integration, Bybit streamlines compliance with the Travel Rule requirements as the exchange brings cryptocurrency transactions on its platform to comply with the Financial Action Task Force (FATF)’s guidance.
VerifyVASP has proven to be the go-to Travel Rule compliance solution among leading virtual asset service providers (VASPs), enabling them to keep up with Travel Rule requirements in a manner that also complies with personal data protection requirements.
In a move to embrace regulatory obligations and strengthen anti-money laundering (AML) effectiveness, Bybit says it is enhancing compliance standards at the infrastructure level to accord better protection to its 6 million registered users.
“Bybit is committed to growing our footprint with a principled approach to financial risks and regulatory compliance. To better serve our community we need to place checks and protections that make sense, and to make crypto more accessible for honest users, which is the vast majority of digital asset holders.
Cross-border rules for the protection of legitimate finance were designed to prevent exploitations in the international financial system, and we welcome organic crypto-native solutions to fast-track regulatory compliance in the crypto space,” said Igneus Terrenus, head of communications at Bybit.
“Transparency is one of the core values at Bybit. And VerifyVASP gives us the data solution and technology to implement it at scale,” he added.
The Travel Rule recommendations require VASPs to become better custodians and transmitters of information. Centralized exchanges with standard Know Your Customers (KYC) processes will play an increasingly pivotal role in crypto’s transition to mass adoption.
Bybit’s participation in the VerifyVASP Alliance will contribute to the data quality and validation efficiency of the decentralized protocol for secure information sharing between VASPs in the network. Compliance with the Travel Rule via VerifyVASP is blockchain technology’s answer to risk mitigation of anti-money laundering and counter terrorist financing.