Cardano Foundation announces Coinfirm partnership to ‘enhance security of crypto’

In a recent development, the Cardano Foundation partnered with blockchain analytics provider Coinfirm, to deploy Anti Money Laundering and Combating Financing of Terrorism (AML/CFT) analytics. As mentioned on the Coinfirm website,

“Cardano Foundation, an independent Swiss-based non-profit that oversees and supervises the advancement of Cardano, has selected the leading RegTech and blockchain analytics provider Coinfirm to enhance the security of the crypto and blockchain economy.”

The growing adoption of crypto assets also increases the level and sophistication of deception and theft in the industry. As covered before, many platforms fall victim to different malicious activities such as money laundering. The said collaboration will ensure that Cardano remains “in compliance with the FATF’s (Financial Action Task Force) guidelines, 6AMLD and other supranational and national regulations.”

Mel McCann, Head of Technical Integrations at Cardano Foundation added,

“AML/CFT analytics is essential for a cryptocurrency to receive mass adoption within regulated markets. The tools and services provided by Coinfirm enable every exchange, custodian, and all other third parties to clearly track the history of ADA held in their wallets.”

Moreover, the said executive saw this venture as a “continued dedication to supporting the adoption of the Cardano blockchain.”

In addition to this, Cardano Foundation CEO, Frederick Greggard, aims at incorporating one billion people onto the network within the next five years. This was in line with the “mass adoption” goal.

Needless to say, AML has become an important feature for protocols to operate in regulated markets globally. IOHK chief Charles Hoskinson cautioned users about the accretion of scams and misinformation within the cryptocurrency space.

Scams and Misinformation about Cardano https://t.co/9Evc4VxEdw — Charles Hoskinson (@IOHK_Charles) August 23, 2021

In the video, he stated that the number of exploits increased about ten times compared to just a month ago because of ADA’s massive rally. Cardano and its native token, ADA, post its recent rally, and much-anticipated recent debut in Japan, have been trending for quite a while now.

Looking at the larger picture, the crypto industry has often been caught up in a face-off with different regulatory bodies and procedures, across the globe. Consider South Korea, where not so long ago, Eun Seong-soo, chairman of the Finance Committee stated that over 200 cryptocurrency exchanges were at the risk of being closed down. The timeline for this is said to be as soon as September this year, if they fail to follow the relevant regulations.

#PANews ????Apr 22, S. Korea #FSC chief #EunSungSoo claimed all #cryptoexchange in Korea can be shut down in September. ????️Eun stated “About 200 crypto exchanges in S.Korea should register to operate but none of them has completed the process yet” in Congress. pic.twitter.com/iJcmdOpw92 — PANews (@PANewsLab) April 22, 2021

Other regions too have implemented strict KYC and AML processes, including background checks, transaction monitoring, and reporting.

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