Fintech
Moody’s and Elliptic Strengthen VASP Screening with Integrated Data Solutions
In a significant move toward bolstering the security and compliance of Virtual Asset Service Providers (VASPs), Moody’s Investors Service and Elliptic have joined forces to deliver an integrated data solution. This partnership aims to enhance the effectiveness of VASP due diligence processes, crucial for mitigating the risks of illicit financial activities, including money laundering and terrorism financing, in the rapidly expanding cryptocurrency industry.
The Increasing Relevance of VASP Screening
The rise of cryptocurrencies has not only introduced a new financial frontier but also raised concerns over the regulatory oversight of these digital assets. As more people and institutions engage in crypto transactions, the risk of illegal activities has also surged. Virtual Asset Service Providers (VASPs) are at the heart of this growing financial ecosystem, facilitating the exchange, transfer, and storage of digital currencies. However, this very role makes them potential gateways for illicit activities.
The Financial Action Task Force (FATF) has been urging countries and financial institutions to enhance the regulatory frameworks governing VASPs. This is where the collaboration between Moody’s and Elliptic comes into play, offering a much-needed solution for strengthening VASP screening processes and ensuring compliance with global anti-money laundering (AML) and combating the financing of terrorism (CFT) standards.
A Closer Look at the Moody’s and Elliptic Partnership
Moody’s Investors Service has built a reputation as one of the leading financial risk assessment and credit rating agencies globally, while Elliptic specializes in blockchain analytics and crypto-asset risk management. By integrating their respective data solutions, the two companies aim to provide a comprehensive approach to assessing the risk profiles of VASPs. This integrated solution combines Moody’s in-depth financial risk analysis with Elliptic’s cutting-edge blockchain intelligence to offer financial institutions a holistic view of VASP risks.
Key Features of the Integrated Solution
- Comprehensive Risk Scoring: The solution combines traditional financial risk factors and blockchain-specific risk indicators, resulting in a more sophisticated and accurate risk scoring system.
- Automated Due Diligence: The integration simplifies and automates due diligence processes, allowing financial institutions to conduct VASP assessments more efficiently.
- Real-Time Alerts and Monitoring: The solution provides real-time alerts on suspicious transactions and activities, enabling institutions to respond proactively to potential risks.
- Regulatory Reporting and Compliance: Financial institutions can leverage the solution’s reporting capabilities to meet regulatory requirements, ensuring that they remain compliant with evolving AML and CFT standards.
Why This Partnership Matters for the Crypto Industry
The Moody’s and Elliptic partnership represents a critical step forward in the ongoing effort to bring greater transparency and security to the cryptocurrency ecosystem. As regulators continue to tighten controls on VASPs, financial institutions must ensure that they are engaging only with compliant and reputable service providers. This integrated solution addresses this need by offering a reliable, data-driven approach to VASP risk management.
For financial institutions, the ability to accurately assess the risk profiles of VASPs can lead to more informed decision-making and reduce exposure to potential financial crimes. Moreover, this enhanced screening capability could pave the way for increased adoption of digital assets by traditional financial institutions, ultimately helping to drive the growth of the crypto industry while maintaining regulatory compliance.
The Road Ahead: Implications and Future Developments
As the adoption of digital assets continues to rise, the demand for robust VASP screening solutions will only grow. Moody’s and Elliptic are well-positioned to lead this charge by continually refining and expanding their integrated solution to meet the evolving needs of the industry.
Looking ahead, the partnership could potentially expand to include other aspects of financial risk management, such as credit risk assessment for crypto-assets or deeper integration with regulatory reporting frameworks. As financial institutions increasingly integrate digital assets into their portfolios, the need for comprehensive and sophisticated risk management solutions will become even more crucial.
Conclusion
The partnership between Moody’s and Elliptic marks a significant milestone in the development of effective VASP screening solutions. By combining Moody’s financial risk assessment capabilities with Elliptic’s blockchain expertise, the integrated solution offers a powerful tool for financial institutions looking to navigate the complex and rapidly evolving world of digital assets. As the crypto industry continues to grow, solutions like this will play a vital role in ensuring that it does so in a secure and compliant manner.
Source: Fintech Global
The post Moody’s and Elliptic Strengthen VASP Screening with Integrated Data Solutions appeared first on HIPTHER Alerts.
As we close out 2024, the fintech industry continues to deliver headlines that underscore its dynamism and innovation. From IPO aspirations to groundbreaking regulatory milestones, today’s updates highlight the transformative power of fintech partnerships, regulatory evolution, and disruptive technologies. Here’s what you need to know.
Chime’s Quiet Step Toward Public Markets
Chime, the U.S.-based financial technology startup best known for its digital banking services, has taken a significant step by filing confidential paperwork for an initial public offering (IPO). As one of the most valuable private fintechs in the U.S., Chime’s move could potentially signal a renewed appetite for fintech IPOs in a market that has been cautious following fluctuating valuations across the tech sector.
With a valuation that reportedly exceeded $25 billion in its last funding round, Chime’s IPO could set a new benchmark for the industry. Observers note that its strong customer base and revenue growth may make it an appealing choice for investors seeking to capitalize on the digital banking boom. However, the timing and success of the IPO will depend on broader market conditions and the regulatory landscape.
Source: Bloomberg
ZBD’s Pioneering Achievement: EU MiCA License Approval
ZBD, a fintech company specializing in Bitcoin Lightning network solutions, has made history by becoming the first to secure an EU MiCA (Markets in Crypto-Assets Regulation) license. This landmark approval by the Dutch regulator positions ZBD at the forefront of compliant crypto-fintech operations in Europe.
MiCA, which aims to harmonize the regulatory framework for crypto-assets across the EU, has been a focal point for industry players aiming to establish legitimacy and expand their offerings. ZBD’s achievement not only validates its operational rigor but also sets a precedent for other fintech firms navigating the evolving regulatory landscape.
Industry insiders view this as a strategic advantage for ZBD as it broadens its footprint in Europe. By leveraging its regulatory approval, the company can accelerate its product deployment and establish trust with institutional and retail users alike.
Source: Coindesk, PR Newswire
The Fintech-Credit Union Synergy: A Blueprint for Innovation
The convergence of fintechs and credit unions continues to reshape the financial services ecosystem. Collaborative initiatives, such as the one highlighted in the recent partnership between fintech innovators and credit unions, are proving to be a potent force in delivering tailored financial solutions.
This “dream team” approach allows credit unions to leverage fintech’s technological expertise while maintaining their community-focused ethos. Key areas of collaboration include digital payments, personalized financial management tools, and enhanced loan processing capabilities. These partnerships not only enhance member engagement but also enable credit unions to remain competitive in an increasingly digital-first financial environment.
Industry analysts emphasize that such collaborations underscore a broader trend of traditional financial institutions embracing fintech-driven solutions to bridge service gaps and foster innovation.
Source: PYMNTS
Tackling Student Loan Debt: A Fintech’s Mission
Student loan debt remains a pressing issue for millions of Americans, and a Rochester-based fintech aims to offer relief through its cloud-based platform. This innovative solution is designed to simplify loan management and provide borrowers with actionable insights to reduce their debt burden.
The platform’s features include repayment optimization tools, personalized financial education, and seamless integration with loan servicers. By addressing the complexities of student loan management, this fintech is empowering borrowers to make informed decisions and achieve financial stability.
As the student loan crisis continues to evolve, solutions like this highlight the critical role fintech can play in addressing systemic financial challenges while fostering financial literacy and inclusion.
Source: RBJ
Industry Implications and Takeaways
Today’s updates underscore several key themes shaping the fintech landscape:
- Regulatory Milestones: ZBD’s MiCA license approval exemplifies the importance of regulatory compliance in unlocking growth opportunities.
- Strategic Partnerships: The collaboration between fintechs and credit unions demonstrates the value of combining technological innovation with traditional financial models to drive customer-centric solutions.
- Market Opportunities: Chime’s IPO move reflects a potential revival in fintech public offerings, signaling confidence in the sector’s long-term prospects.
- Social Impact: Fintech’s ability to tackle systemic issues, such as student loan debt, showcases its role as a force for positive change.
The post Fintech Pulse: Your Daily Industry Brief (Chime, ZBD, MiCA) appeared first on News, Events, Advertising Options.
Leading global payments platform SPAYZ.io has confirmed it will be attending iFX EXPO Dubai 2025 on 14 to 16 January. Exhibiting at Stand 64 at Trade Centre Dubai, SPAYZ.io’s team of professionals will be on hand providing live demonstrations of its renowned payment services for payment providers. Attendees will also receive exclusive insight into SPAYZ.io’s plans for 2025 alongside early early access to its upcoming plans for the new year.
SPAYZ.io delivers a host of payment solutions that leverage the latest technological innovations and open access to the fastest growing emerging markets across Africa, Europe and Asia. Over the past year, there has been huge demand for its Open Banking and local payment method services, alongside bank transfers, mass payouts, online banking and e-wallets.
Yana Thakurta, Head of Business Development at SPAYZ.io commented: “We look forward to once again participating at iFX Dubai to expand our network of partners and clients. It’s a fantastic way to kick off the year, connecting with thousands of industry leaders from FOREX platforms to trading companies, and everything in between.
“Our key goal for iFX Dubai EXPO 2025 is to expand our portfolio of solutions and geographies. We’re using this as an opportunity to partner with like-minded entities who share our ambition to provide payment solutions that are truly global.”
Come meet SPAYZ.io’s team at the Trade Centre Dubai at Stand 64. You can also book a meeting slot with a member of a team.
The post SPAYZ.io prepares for iFX EXPO Dubai 2025 appeared first on News, Events, Advertising Options.
Airtm, the most connected digital dollar account in the world, is proud to announce the addition of two distinguished industry leaders to its Board of Directors: Rafael de la Vega, Global SVP of Partnerships at Auctane, and Shivani Siroya, CEO & Founder of Tala. These appointments reflect Airtm’s commitment to innovation and financial inclusion as the company enters its next phase of growth.
“We are thrilled to welcome Rafael and Shivani to Airtm’s Board of Directors,” said Ruben Galindo Steckel, Co-founder and CEO of Airtm. “Their unique perspectives and proven track records will be invaluable as we continue scaling our platform to empower individuals and businesses in emerging markets. Together, we’ll push the boundaries of financial inclusion and innovation to create a more connected and equitable global economy. Rafael and Shivani bring a wealth of experience and strategic insight that will strengthen Airtm’s mission to connect emerging economies with the global market.”
Rafael de la Vega, a seasoned leader in fintech global partnerships and technology innovation, is currently the Global SVP of Partnerships at Auctane. With a proven track record of delivering scalable, impactful solutions at the intersection of fintech, innovation, and commerce, Rafael’s expertise will be pivotal as Airtm continues to grow. “Airtm has built a platform that breaks down barriers and opens up opportunities for people in emerging economies to connect to global markets. I am excited to contribute to its growth and help further its mission of fostering financial inclusion on a global scale,” said Rafael.
Shivani Siroya, CEO and Founder of Tala, is a pioneer in financial technology, renowned for empowering underserved communities through access to credit and essential financial tools. Her leadership in leveraging data-driven innovation aligns seamlessly with Airtm’s vision of creating more equitable financial opportunities. “Empowering underserved communities has always been at the core of my work, and Airtm’s mission resonates deeply with me. I’m thrilled to join the Board and work alongside such a dynamic team to expand access to financial tools that truly make a difference in people’s lives,” said Shivani.
The post Airtm Enhances Its Board of Directors with Two Strategic Appointments appeared first on News, Events, Advertising Options.
-
Fintech5 days agoFintech Pulse: Your Daily Industry Brief (Synapse, Shenzhen Institute, Visa, AutomatIQ, MeridianLink)
-
Fintech4 days agoFintech Pulse: Your Daily Industry Brief (Revolut, Bestow, Advyzon, Tyme Group, Nubank)
-
Fintech2 days agoFintech Pulse: Your Daily Industry Brief (Chime, ZBD, MiCA)
-
Fintech5 days agoAsian Financial Forum returns as region’s first major international financial assembly in 2025
-
Fintech6 days agoNASDAQ-Listed LYTUS Appoints Visionary Leader Sai Guna Ranjan Puranam as COO (Lytus Healthcare) and Group CTO (Lytus Technologies) to Revolutionize Healthcare and Technology
-
Fintech6 days agoDhaka Court Dismisses Allegations Against Nagad Founder Tanvir A Mishuk
-
Fintech PR4 days agoGan & Lee Pharmaceuticals Announces U.S. FDA Clearance of the IND application for the innovative Bi-weekly GLP-1RA GZR18 Injection, Bofanglutide, with chronic weight management Indication (A Phase 2 head-to-head with Tirzepatide clinical trial)
-
Fintech PR2 days agoAccording to Tickmill survey, 3 in 10 Britons in economic difficulty: Purchasing power down 41% since 2004