Binance Deploys ‘Traveler’ Crypto Monitoring System To Comply With FATF Travel Rule – Bitcoin News Settlement

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Binance announced yesterday that it has deployed Ciphertrace’s Traveler system as part of its compliance efforts. Traveler is the first system designed for exchanges to comply with the travel rule proposed by the Financial Action Task Force. The exchange would be part of the first wave of exchanges implementing this system of automatic travel rules compliance.

Binance implements Ciphertrace’s Traveler protocol in its trading platform

Binance, one of the largest cryptocurrency exchanges in the market, has announced the implementation of Traveler, a system that will help them comply with the travel rule established by the Financial Action Task Force (FATF). Ciphertrace, a blockchain analytics startup, created Traveler as a third-party compliance platform.

Ciphertrace claims that Traveler automates the process of complying with the FATF mandate, automatically establishing connections and identifying different VASPs (Virtual Asset Service Providers). Hence, exchanges simplify their due diligence burden by implementing it.

Thanks to this agreement, the exchange would be able to quickly detect and identify money laundering. For this reason, Samuel Lim, Chief Compliance Officer of Binance, said:

We are proud to partner with Ciphertrace to deploy their Traveler compliance solution. As always, we are committed to delivering a superior product to our users, a product that is secure, decentralized and meets global compliance standards.

Likewise, Ciphertrace CEO Dave Jevans also touched on the subject. The CEO pointed out:

We are confident that Traveler will help Binance continue to meet the highest standards in global anti-money laundering compliance.

Regulatory crackdowns on the crypto industry

According to some reports, this type of tool appeases regulators who are currently investigating crypto trading activities around the world. The announcement comes after Binance faced a series of warnings from regulators in several countries. The Japanese cryptocurrency watchdog, the FSA, recently issued a warning against Binance. Japanese regulators say the company has not registered to offer crypto trading services. Likewise, UK regulators have also issued a similar warning, stating that Binance does not have a license to operate in the country.

Likewise, Binance stopped offering its services in Ontario after the Ontario Securities Commission said Binance was offering securities transactions without authorization. Changpeng Zhao, founder and CEO of the exchange, has repeatedly stated that Binance does not have a head office because “it’s like Bitcoin,” avoiding answering where the company is based. Therefore, its location has remained a mystery, with some pointing to the Cayman Islands as a possible base.

What do you think of Binance’s implementation of Ciphertrace Traveler? Tell us in the comments section below.

Tags in this story Binance, Binance Exchange, Bitcoin, Cayman Islands, Ciphertrace, fatf, Regulators, Regulatory crackdown, Travel rule, Travel rules regulation, VA, vasp, VASP, warnings

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