Binance one of the leading crypto exchanges has come in partnership with public protocol Shyft Network as it all ready tp comply with Financial Action Task Force (FATF) regulations. The designing of the Shyft Network was created to cater to a decentralized solution for crypto industry players to meet Global compliance standards including the FATF’s travel rule. In the recent statement said on the Cointelegraph platform released on February 27, the Chief Compliance Officer of Binance, Samuel Lin said that till the creation of the Shyft Network as there was no existing infrastructure through which firms could easily comply with the latest FATF rules. Being the part of the FATF’s latest guidance related to the Virtual Asset Service Provider (VASPs) which was last summer and came into existence this June – the controversial travel allows VASPs to collect and share Know Your Customer (KYC) information during transactions. Call on the Binance support helpline number and get assistance from the guidance.
The advisor and Former FATF executive secretary of Shyft, Rick McDonell said that the partnership should help to move this Industry to the other level when it comes to interfacing with regulators, said that Other exchanges are advised to participate in federations that look after global compliance requirements, particularly the FATF’ Travel rule. The Shyft Network also boosts crypto businesses to execute industry-wide remedies to the FATF’s requirements through using its Identity passports, database bridging, and data attestation infrastructure.
It is an open-source technology that is designed to comply with both FATF guidelines and the European Union’s GDPR data privacy law that is looking for maintaining full use of decentralized networks and to create secure data-sharing principles applicable across multiple jurisdictions.
The travel rule, and Binance’s KYC incident
Just after the finalization of the travel rule, FAT Secretariat Tom Neylan said Cointelegraph in an interview that there pending work to be done by the private sector to be created by a technical system that is capable of implementing this rule. He focused on the time when they didn’t want to FATF to look after and tell technical details related to the working process of companies should comply with it because that thing would be out of date quickly. The second-largest exchange’s partnership with Shyft is important to last summer and in August, the exchange went into hacking extortion that witnessed the possession of a huge chunk of the firm’s KYC data (over 10,000 personal photos).
The doubt was on the genuinely of the leaked data, the exchange said at the time that the released images could get back to a period when the exchange was in use of a third-party service provider to process its KYC verifications. A few are accusing the exchange of executing to deflect blame, independent crypto author and analyst Sam told the Cointelegraph that he believed that KYC should be and at present is handled by major exchanges. Call on Binance toll-free number which is always applicable and the team is ready to guide you.