The Next Big Thing in Digital Asset Compliance

By Anne Winston, November 5, 2019

The European Union (EU)’s Markets in Crypto Assets (MiCA) regulation is currently being proposed by EU institutions. If and when it comes into effect, it will provide a unified licensing regime for crypto asset service providers (CASPs) operating in the EU. 

How can a RegTech company help you grow your digital asset business with less risk while streamlining everyday tasks?

It’s not news that governments around the world are rapidly rolling out legal and regulatory framework for any business touching digital assets. With the volume and complexity of new regulations, fintech companies that operate without a dedicated compliance solution do so at a high risk of compliance penalties in the current environment. Allocating time and energy to solve complicated regulatory requirements is often not feasible for emerging fintech companies, especially true for those where personpower is typically spread thin.

However, staff alone does not solve today’s compliance challenges. The solution lies in implementing cost-effective tools, compatible with existing technologies, and capable of responding quickly to the compliance landscape.

Enter, ‘Plug & Play’ compliance.

‘Plug & Play’ is techie speak which implies that once you’ve installed a software program, it’s going to go to work for you with little to no oversight needed from your business. Pioneering this niche in digital asset compliance is a RegTech company out of Singapore, Ospree, a customizable software system able to keep fast-growing fintech companies one step ahead of the regulators.

Chief among Ospree’s top-shelf offerings are AI-powered KYC & AML checks, blockchain transaction surveillance, whitelisting and auditable reporting. In partnership with leading technology companies such as CipherTrace and JumioOspree offers a streamlined, efficient process driven by high-quality data and consistent methodology ready to embed into your risk and compliance framework.

Acquiring a software solution with a powerhouse team of compliance experts behind it is a manageable solution for any business, Ospree estimates an average savings to businesses of 25–40%. Using their AI and transaction surveillance solution means reducing risk and onboarding new customers in real-time, on average companies report a 90% faster onboarding process. However, the real selling point is the customization, with solutions individually tailored to each business to ensure companies are only paying for what they need.

Digital asset compliance is poised to be the conversation everyone is having in 2020, as regulators extend their reach from the obvious (exchanges, token issuers, digital payment services) to the unexpected (merchant services, cross border transfers). Fintech companies and merchants who accept crypto payments must quickly come up to speed on the laws within their jurisdiction, or risk being shut down completely. Ospree’s sleek and easy software and support allows companies to carry on business as usual, leaving the regulatory heavy lifting to the experts.