How FATF Travel Rule Compliance Ensured Crypto Finance Brokerage Obtaining the FINMA Securities House Licence
Switzerland is one of the most crypto-friendly countries, featuring the famous Crypto Valley, an innovation hub in Zug, where companies like Crypto Finance AG and 21 Analytics are based. Following its expressive relevance to the cryptocurrency industry, the country has pioneered related regulations, imposing consequent compliance requirements for financial institutions.
Since its founding, the Crypto Finance Brokerage has focused its efforts on leading the financial transformation through the values of quality and integrity, which are translated in their work building trust with financial authorities. At the beginning of this year, the company was granted the Securities House license by FINMA (the Swiss Financial Market Supervisory Authority).
All FINMA licensed virtual asset service providers (VASPs) must comply with stringent organisational, financial and risk-minimisation regulations, including the Financial Action Task Force's (FATF's) Travel Rule for virtual assets. After participating in the first automated Travel Rule transaction in the world, powered by the launch of 21 Analytics' software solution, 21 Travel Rule, Crypto Finance Brokerage chose 21 Travel Rule as their Travel Rule solution to automate data exchange and ensure compliant transactions.
With its multiprotocol feature, 21 Travel Rule allows Crypto Finance Brokerage to exchange data with any regulated counterparty that is also operating in compliance with the FATF Recommendation 16. The VASP identification and the transaction of information support TRP, OpenVASP, and provide fallback solutions to transact with others. Another key factor in their purchasing decision was the on-premises implementation, which ensures data privacy and protection, preventing the software provider from seeing, dealing or knowing the data, as the solution runs on Crypto Finance's servers.
Nathaniel Zollinger, CTO of Crypto Finance Brokerage
Crypto Finance Brokerage's CTO, Nathaniel Zollinger, on the ease of use and flexibility of 21 Travel Rule:
"As an early participant in the TRP (Travel Rule Protocol) with 21 Analytics, we appreciate their lean design standard and flexible solutions that fit our day-to-day in our work with regulated counterparties".
The 21 Travel Rule software supports the alignment of Crypto Finance Brokerage's operations with FINMA's expectations for VASPs operating with a Securities House license.
This step, alongside their proven excellence, empowered the Crypto Finance Group as a whole to achieve even greater success. Recently, a majority of the company stakes were bought by Deutsche Börse, the German stock exchange, pushing the relevance of their crypto offerings globally.
We are proud of being a technology provider of Crypto Finance Group supporting this achievement. We congratulate Crypto Finance Group for their recognition as an excellence and innovation provider in the crypto asset space once again.
Companies applying for FINMA licenses are welcome to contact us for help in their crypto compliance journey.