Compliance: Cardano Foundation Implementing AML Analytics

2021-09-03 23:51:28 Primitive Reading

The Cardano Foundation has now selected Coinfirm, a leading provider of regulatory technology solutions, to deploy AML/CFT analytics for the Cardano blockchain and all associated tokens.

The Importance of Blockchain Analytics

The two parties announced the collaboration on August 24th. It reads that the deployment of these new analytics services will ensure that Cardano remains fully FATF (Financial Action Task Force) compliant while adhering to other national and international regulations.

As networks like Cardano and Ethereum provide the foundation for an increasing number of burgeoning cryptocurrencies, they also create further possibilities for scams, theft, and money laundering. This encourages greater skepticism from regulatory bodies toward the networks, necessitating transparency to appease them before they stifle or crush their growth. That’s where Coinfirm comes in:

“AML/CFT analytics is essential for a cryptocurrency to receive mass adoption within regulated markets,” says Mel McCann, Head of Technical Integrations at Cardano Foundation.

“The tools and services provided by Coinfirm enables every exchange, custodian, and all other third-parties to clearly track the history of ada held in their wallets.”

McCann calls the recent partnership a display of the non-profit’s dedication to “supporting the adoption of the Cardano blockchain.”

Cardano’s Ambitious Long-Term Plans

McCann’s stated goal of “mass adoption” is not an overstatement. Cardano has lofty expectations of how large the network will be within the next few years. Cardano Foundation CEO Frederick Greggard predicts the onboarding of one billion people onto the network within the next five years and to be able to service at least one entire nation.

He also plans to onboard at least 50 banks with ADA, allowing holders of the token to easily convert ADA into FIAT with one of these institutions.

Yet, these goals may be attainable at this rate. The price of ADA continues to rise, and the popularity of Cardano is reaching some of its greatest highs lately, even surpassing Bitcoin in levels of social media discussion.

The growth of the project’s native token also reached new markets this week. As Charles Hoskinson announced himself, ADA made its anticipated debut in Japan as the Tokyo-based crypto exchange Bitpoint listed it on its platform.

Disclaimer: This specification is preliminary and is subject to change at any time without notice. Amazon Finance assumes no responsibility for any errors contained herein.