CoinComply Chooses IdentityMind to Back KYC in its Digital Currency Solution
With the increasing popularity and use of virtual or digital currencies like Bitcoin, scrutiny by regulatory and law enforcement agencies has increased as well. Companies hoping to capitalize on the benefits of digital currency also have to navigate an evolving regulatory environment (e.g., online payments provider Dwolla cited “uncertainty and confusion” in the digital currency market when it said it will begin pulling its support from Bitcoin exchanges ). To that end, CoinComply, a digital currency consultancy has partnered with antifraud technology provider IdentityMind to offer an integrated KYC and transaction monitoring solution that complies with requirements of the Bank Secrecy Act.
CoinComply is leveraging the antifraud and risk-management capabilities of the IdentityMind platform to support transaction monitoring for digital currency exchanges, digital wallets associated with Bitcoin and other virtual currencies and merchants that accept those currencies.
“The IdentityMind platform provides one functional system for the end-user from the customers point-of-entry to verify identity, screen against government sanctions lists, and monitor ongoing transactional activity for indicators of unusual or suspicious activity as required by the BSA,” said Brian Stoeckert, CoinComply’s chief strategy officer. “We designed an integrated end-to-end BSA program for digital currency companies to bring them up to compliance, but also meet the high-risk due diligence requirements placed on financial institutions to bank MSBs.”