AML/CFT Compliance Solutions Now Available for HBAR and Any Assets Issued on Hedera
San Francisco, CA and Dallas, TX – December 21, 2020 – Hedera Hashgraph, the enterprise-grade distributed ledger, and TRM, the cryptocurrency compliance and risk management platform, today announced that TRM has successfully integrated with the Hedera public ledger, and customers can leverage the integration to comply with Anti-Money Laundering/Combating the Financing of Terrorism (AML/CFT) regulatory requirements. Hedera’s native cryptocurrency, HBAR, is now supported across all TRM solutions, and future assets issued on Hedera will also be supported. Users benefit from custom analytics and solutions that allow them to monitor risk, detect financial crime, and strengthen AML/CFT compliance on Hedera.
"Governments require financial institutions to establish risk-based anti-money laundering programs. Fulfilling these requirements on public ledgers is extra challenging due to the evolving regulatory landscape, technologies, and threat actors," said Esteban Castaño, co-founder and CEO of TRM Labs. "By integrating with Hedera, we offer organizations building on the Hedera network the ability to prevent cryptocurrency fraud and financial crime, enabling our shared goal of building a safer financial system for billions of people."
TRM specializes in detecting and preventing fraud and financial crime on distributed ledgers. TRM works by analyzing billions of digital asset transactions in real-time, detecting fraud and financial crime, then generating risk scores for relevant addresses, transactions, and entities. This lets enterprises and financial institutions monitor, investigate, and report suspicious activity in real-time, helping them to simplify customer due diligence and meet regulatory requirements.
“TRM’s cryptocurrency compliance and risk management solutions are utilized by leading financial institutions including major exchanges, brokerages, and payment companies across the US, Latin America, Asia, and Europe,” said Sam Brylski, Chief Compliance Officer for Hedera. “We are pleased they now offer their robust compliance and risk management solutions to the wide set of developers and enterprises building mission-critical applications on the Hedera network, many of which must comply with an ever-changing global financial regulatory environment.”
"Hedera's commitment to compliance was a key factor in our decision to join the Hedera Governing Council,” said Richard MacNamara, Legal Director at Zain Group. “As a member of the Hedera Legal and Regulatory Committee, it is encouraging to see TRM Labs adding the Hedera Network into its suite of compliance tools and an indication of the maturing of the ecosystem. Our prospective use cases rely on the ability to manage risk and we are confident we will be able to do that on the Hedera Network."
The TRM Hedera network integration will enable Hedera ecosystem members to access Hedera network data within TRM and leverage the following TRM tools and technologies to comply with AML/CFT regulatory requirements:
- TRM Transaction Monitoring: Real-time risk scoring of cryptocurrency transactions for AML compliance
- TRM Wallet Screening: Proactive screening of cryptocurrency addresses for sanctions and AML compliance
- TRM "Know-Your-VASP": Comprehensive risk profiles of “Virtual Asset Service Providers” (VASPs) and digital asset businesses
- TRM Forensics: Investigative tools to trace the source and destination of funds and link addresses to real-world entities
As a result, market participants will be able to interact with the Hedera network with compliance peace of mind:
- Exchanges can list HBAR and use TRM Transaction Monitoring for AML compliance
- Asset issuers can safely mint and redeem tokens on Hedera and use with TRM Transaction Monitoring Forensics for AML compliance
- Custodians can store HBAR and use TRM Wallet Screening for sanctions compliance
- Banks can provide services to enterprises utilizing the Hedera network, and use TRM “Know-Your-VASP” for due diligence requirements
- Regulators can monitor activity on the Hedera network with TRM Forensics
The Hedera and TRM Labs integration sets the foundation for additional AML initiatives, including linking transactions across public DLTs and using Hedera as a high-throughput message queue to track assets across chains.
TRM Labs is the crypto compliance company. TRM enables organizations to detect fraud and financial crime, accelerate business processes, and meet regulatory requirements, all while working with industry-leading data and workflows. Founded in 2018, TRM works with the largest cryptocurrency businesses and financial institutions worldwide. TRM is headquartered in San Francisco, CA, with offices in Washington D.C. and Europe. TRM is backed by leading investors including PayPal, Initialized Capital, Blockchain Capital, and Y Combinator.
Hedera is a decentralized public network on which developers can build secure, fair applications with near real-time finality. The platform is owned and governed by a council of the world's leading organizations including Avery Dennison, Boeing, Dentons, Deutsche Telekom, DLA Piper, FIS (WorldPay), Google, IBM, LG Electronics, Magalu, Nomura, Swirlds, Tata Communications, University College London (UCL), Wipro, and Zain Group.
For more information, visit www.hedera.com, or follow us on Twitter at @hashgraph, Telegram at t.me/hederahashgraph, or Discord at www.hedera.com/discord. The Hedera whitepaper can be found at www.hedera.com/papers.
For Media Enquiries
E: [email protected]
E: [email protected]
T: +353 87 097 2754