Two Swiss firms complete an AML-Compliant cryptocurrency transfer
On Thursday 20th August, Crypto Finance AG, and 21 Analytics together with My Pelerin announced to have successfully completed an automated cryptocurrency transfer. The Bitcoin transaction organized by these two Swiss companies equated to approximately 23 USD and was made in accordance with the AML standards of Financial Action Task Force (FATF).
The Swiss market regulator requires the virtual assets service providers (VASP) to disclose the originator and recipient of every fund for all transfers over 1000 USD. Since the rule coming into effect last year, the compliance procedure was being done manually, but in the most recent crypto transaction, the participants' data was sent automatically.
Lucas Betschart, the founder and Chief Executive Officer (CEO) of 21 Analytics, confirmed that “The transfer was fully automated using TRP, instead of manually creating PDFs and sending that for each transaction, which happened to be the case for FINMA-regulated Swiss VASPs so far”.
“The global adoption of crypto assets requires an international standard as well as the technology and processes to comply with it. We are pleased that this could be implemented in record time”, explained the CEO of Crypto Finance.
Many users of digital currencies indulge in its privacy features although this is not characteristic of all cryptocurrencies. And the need for regulatory compliance would seem incompatible by nature with the decentralization principle. However, FINMA’s new AML rule requiring the identity of users of crypto assets has become essential as the need to control financial crimes keeps growing.
According to Arnaud Salomon, CEO of Mt Pelerin, "This live demonstration shows once again that crypto assets and regulatory compliance are compatible through practical solutions, which a key focus of our tokenization technology".