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iDenfy partners with Bitlocus to improve crypto security

Tuesday 10 September 2024 10:41 CET | News

iDenfy, a Lithuania-based regtech startup specialising in ID verification and fraud prevention, has partnered with Bitlocus, a regulated cryptocurrency exchange.

iDenfy will provide its KYC solution to improve Bitlocus’s verification process, aiming to increase user conversions and maintain a compliant flow.

iDenfy and Bitlocus announce partnership to enhance cryptocurrency security and compliance measures

Bitlocus has responded to these challenges by partnering with iDenfy to integrate its automated identity verification and AML technologies. These include Politically Exposed Persons (PEPs) and sanctions list screening, as well as adverse media screening, which will complement Bitlocus’s risk management processes.

iDenfy was selected for its ease of integration, market reputation, competitive service package, and support for various compliance processes. This partnership will enable Bitlocus to leverage iDenfy’s biometric and facial recognition algorithms, which can accurately verify identities from over 3,000 documents across 200 countries. The new system simplifies the KYC process into a four-step procedure, averaging under a minute.

Bitlocus aims to strengthen security while ensuring a smooth user experience, a critical factor in the competitive crypto industry. The integration of iDenfy’s solutions represents a significant step in improving both security protocols and user onboarding efficiency.

KYC and AML: essential for crypto security

The cryptocurrency sector is experiencing rapid growth, heightening the need for robust security measures. In 2023, cryptocurrency-related scams and fraud resulted in losses exceeding USD 4.57 billion, underscoring the critical need for effective identity verification to safeguard users and uphold trust in the digital asset market.

Therefore, the implementation of KYC and AML processes is critical for cryptocurrency exchanges due to the inherently anonymous and decentralized nature of digital assets. Without proper verification, cryptocurrencies can be used to facilitate illicit activities, including money laundering, fraud, and financing of terrorism. Robust KYC procedures ensure that users are accurately identified, while AML protocols monitor and flag suspicious transactions, helping exchanges comply with regulatory standards and mitigate risks. For platforms like Bitlocus, adopting KYC and AML solutions through partnerships with regtech companies such as iDenfy is essential to maintaining security, protecting users, and building trust within the rapidly evolving crypto ecosystem.

Established in 2019, Bitlocus is a regulated crypto exchange known for its decentralized financial solutions. The platform sought a comprehensive regtech solution that integrates both KYC and AML compliance services, avoiding the need for multiple vendors and allowing for customised verification flows based on risk assessments.


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Keywords: partnership, crypto, identity verification, fraud prevention, cryptocurrency exchange
Categories: Fraud & Financial Crime
Companies: Bitlocus, iDenfy
Countries: World
This article is part of category

Fraud & Financial Crime

Bitlocus

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iDenfy

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