{"id":5689,"date":"2021-03-04T07:57:00","date_gmt":"2021-03-04T07:57:00","guid":{"rendered":"https:\/\/www.sygna.io\/?p=5689"},"modified":"2021-03-04T09:58:31","modified_gmt":"2021-03-04T09:58:31","slug":"coolbitx-elliptic-sygna-bridge-launch-wallet-adress-filter-api-for-private-wallet-screening-api-service","status":"publish","type":"post","link":"https:\/\/www.sygna.io\/jp\/blog\/coolbitx-elliptic-sygna-bridge-launch-wallet-adress-filter-api-for-private-wallet-screening-api-service\/","title":{"rendered":"CoolBitX and Elliptic Release Sygna Bridge Wallet Address Filter For Private Wallet Transaction Discovery"},"content":{"rendered":"\n

Taipei, Taiwan \u2014 3 March 2021<\/strong> \u2014 CoolBitX<\/a>, the blockchain security company that is building the infrastructure necessary to close the gap between the mainstream market and the crypto industry has released the Sygna Bridge Wallet Address Filter API\u2014a service that distinguishes between custodial and private wallet addresses. <\/p>\n\n\n\n

The Wallet Address Filter API is fully-operational and ready for use as a new feature in Sygna Bridge<\/a>\u2014the market-ready solution designed by CoolBitX for Virtual Asset Service Providers (VASPs) to meet new regulatory requirements emerging from the Financial Action Task Force (FATF) Recommendation 16\u2019s \u201cTravel Rule\u201d guidance.<\/p>\n\n\n\n

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What is the Sygna Bridge Wallet Address Filter?<\/h2>\n\n\n\n
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The first-to-market Wallet Address Filter combines Elliptic\u2019s powerful wallet screening service Lens API<\/a>, with Sygna Bridge\u2019s VASP wallet filtering features to ascertain whether counterparty wallet addresses belong to other VASP custodial wallets or private wallets. <\/p>\n\n\n\n

In accordance with AML\/CFT requirements, VASPs can use the combined service to identify and report mandated transaction details to authorities, or flag suspicious transactions and entities. The Sygna Bridge Wallet Address Filter API is currently operational and ready for use, and VASPs can contact either CoolBitX or Elliptic for a free trial.<\/p>\n\n\n\n

Michael Ou, Founder and  CEO of CoolBitX, said:<\/strong><\/strong><\/p>\n\n\n\n

\u201cAs global regulatory concerns pivot from VASP-to-VASP transactions to include VASP-to-private wallet transactions, crypto exchanges and businesses require comprehensive solutions that are future-proof while easing the burden of compliance. <\/em><\/p>

Through our strategic partnership with Elliptic since July 2020, we have had the chance to jointly provide VASPs with Travel Rule information sharing and transaction monitoring capabilities. Today with the addition of our Wallet Address Filter API, it is now possible for VASPs to identify private wallet transactions, with the growing need for such AML\/CFT safeguards.\u201d<\/em><\/p><\/blockquote>\n\n\n\n

The current regulatory requirements in the United States for VASPs to collect Know Your Customer (KYC) data could also include crypto-asset transactions to private wallet addresses, as recently proposed in December 2020 by the U.S. Financial Crimes Enforcement Network (FinCEN). <\/p>\n\n\n\n

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Global regulations and private wallet transactions<\/h2>\n\n\n\n
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With current global FATF Travel Rule standards requiring data collection from VASP-to-VASP transactions, and the FATF’s recent February plenary promising more regulatory proposals in March, with one being how to address the risks of “disintermediated peer-to-peer transactions”, the industry is expecting guidance towards the treatment of private wallet transactions later this year. <\/p>\n\n\n\n

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How Wallet Address Filter works<\/h2>\n\n\n\n
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\"How<\/figure>\n\n\n\n
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The Sygna Bridge Wallet Address Filter API distinguishes transfer requests sent from originator VASPs resulting in one of two possible outcomes:<\/p>\n\n\n\n

  1. The counterparty is a VASP<\/strong>
    a. The VASP is subject to robust KYC and AML filters through onboarding due diligence when they request to join Sygna
    b. Sygna Bridge is used to fulfill FATF travel rule requirements.
    <\/li>
  2. The counterparty is not a VASP<\/strong>
    a. Elliptic provides screening services and returns a \u201c0 – 100\u201d risk score of the private wallet (with 100 being the highest risk score).<\/li><\/ol>\n\n\n\n
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    Wallet Address Filter strengthens CoolBitX and Elliptic partnership<\/h2>\n\n\n\n
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    The release of the Sygna Bridge Wallet Address Filter API builds on the earlier formed strategic partnership between CoolBitX and Elliptic in July 2020, which allowed customers of both companies to access solutions that are outside each\u2019s core competencies but under the umbrella formed by the partnership. <\/p>\n\n\n\n

    For example, VASPs signed up with Sygna\u2019s bundled service with Elliptic can have access to information sharing with VASPs that are interoperable with Sygna Bridge within its wallet directory, while utilizing Elliptic\u2019s blockchain analytics and transaction monitoring capabilities.<\/p>\n\n\n\n

    The Sygna Bridge Wallet Filter API is now ready for use and interested parties can contact either CoolBitX or Elliptic to benefit from a free trial:<\/p>\n\n\n\n