- Shyft Network has added Huobi, Bitfinex and Tether to its Veriscope Governance Task Force
- The task force will assist with the implementation of FATF regulations recently imposed on crypto exchanges
- Exchanges have already begun to adopt the regulations which were announced last year
Shyft Network has announced that it has added Huobi, Bitfinex and Tether to its anti-money laundering (AML) task force that already includes a host of well known names. Shyft is a prominent participant in efforts to bring the cryptocurrency ecosystem in line with Financial Action Task Force (FATF) regulations, and last year signed up with CipherTrace to offer a cryptographic data encryption service that allowed exchanges to comply with FATF regulations.
Veriscope to Assist in Implementing FATF Regulations
Shyft announced their Veriscope Governance Task Force on Wednesday, which features a collection of cryptocurrency firms such as HashKey Pro, Paycase Financial, and recent addition Binance. Recent appointees Rick McDonell, former FATF executive secretary, and Josee Nadeau, former head of the Canadian delegation to the FATF, will co-chair the task force.
McDonell said in a press release that the taskforce’s aim was to endanger trust between crypto companies in the new paradigm:
Veriscope intends to provide a governance and rules framework whereby virtual asset service providers [VASPs] can trust each other. It keeps them in a democratic environment in terms of making rules and, because of the transparency between them, allows firms to take the risk of sharing information that could at times be commercially competitive.
Shyft in Pole Position to Help Crypto Exchanges
New FATF guidelines were issued in June 2019 which required VASPs to share know-your-customer (KYC) data between a sender and the beneficiary for trades over $1,000 in line with existing regulation of traditional financial markets. These new regulations are fundamentally at odds with both the ideology and the infrastructure of the cryptocurrency ecosystem at present, which is why solutions such as those offered by the likes of Shyft and CipherTrace have been hurriedly adopted by exchanges.
