Malta-based cryptocurrency exchange, Binance revealed in an announcement today that it has partnered with Coinfirm, an international regulation technology company, to ensure that the business remains compliant with newly introduced rules for crypto companies by the Financial Action Task Force (FATF).
Per the announcement, Binance will, by the new partnership, integrate Coinfirm’s blockchain-based agnostic anti-money laundering (AML) platform to their cryptocurrency exchange, which currently serves users in more than 180 countries.
Binance hopes that Coinfirm’s real-time risk score analysis, alerts, and investigations system, built on blockchain agnostic platform will help the exchange to thwart money laundering attempts and also to take quickly informed decisions on transactions to protect the crypto economy as a whole better.
Coinfirm CEO Pawel Kuskowski said in the release that Binance’s focus on providing the best user experience while attaining the highest AML and security standards makes the current partnership another step forward in their leadership in the market.
While Binance mentioned in the release that the new partnership would allow the exchange to improve its internal AML and risk analysis processes, it is yet unclear how users would be affected by the latest changes.
The newly introduced rules by the FATF, as we explained, require that cryptocurrency exchanges mandate their customers who want to transact over $1000 worth of crypto to provide information regarding the recipient.
Whether Binance will, through its new partnership, roll out a feature supporting the FATF guideline is a question that only time will answer.
Meanwhile, we reported in a similar development that CipherTrace, another AML compliance tool provider, was working on a solution that would allow crypto exchanges to comply with the FATF rules.