ecxx.com and Merkle Science partner to strengthen compliance via digital assets monitoring
ecxx.com, a leading digital asset exchange in Singapore, has announced a partnership with a fellow deep-tech startup based out of Singapore, Merkle Science to enhance on-chain transaction monitoring.
With this partnership, the AI-enabled risk-monitoring system enables detection and trigger of any unusual patterns that might be suspicious for funds received through Bitcoin and Ethereum. Traditionally, money movement through the bank system is easily tracked since there is a well-established system of identification and audit trail. In the blockchain space, most blockchain addresses are not easily linked to individuals or groups, thus making it extremely difficult to track currencies used for nefarious activities.
This is also timely as the new guidelines set out by the Financial Action Task Force (FATF) require virtual asset service providers (VASPs), such as cryptocurrency exchanges, to comply with Anti-Money Laundering (AML) and Combating the Financing of Terrorism (CFT) regulations.
“As a digital asset exchange, we are serious about AML/CFT regulations so this is a natural step for us. We believe that the only way for the industry to grow is to ensure we all play our part in minimising AML risk and real-time due diligence on cryptocurrency transactions will go a long way in ensuring this. The partnership with Merkle Science will enhance our compliance in preparation for upcoming regulations as well.” said Branson Lee, Co-Founder and CEO of ecxx.com.
Mriganka Pattnaik, Co-Founder and CEO, Merkle Science said, “With increasing regulations and scrutiny in the cryptocurrency space, monitoring AML/CFT risks on the blockchain is integral to promoting trust and collaboration between banks, regulators and cryptocurrency exchanges.”
In an effort to combat money laundering and terrorist financing, ecxx.com had also recently hosted a “Blockchain for Business” event with Merkle Science for the wider public to educate them on the risks of being victims of criminal activities in the cryptocurrency space and how they can protect themselves.
Branson added, “Our team consists of experienced professionals who are passionate about blockchain and have been organising monthly meetups for those who want to learn real-world use cases and embrace the technology for business transformation. We will continue to push for a digital finance future with more innovative solutions and industry collaborations.”