Australia’s Blockbid cryptocurrency trading firm has achieved a significant milestone yet again in the blockchain-based virtual currency industry by becoming the first crypto exchange in the globe to partner with a traditional risk management firm, in a bid to conduct more effective Know-your-customer (KYC) and Anti Money Laundering (AML) operations.
With the new alliance, Blockbid will transform its operations using the ThreatMetrix 1.4 billion robust identity database with that of LexisNexis.
At a time when regulators all around the globe are mandating crypto-related businesses to pay more attention to their KYC/AML operations, the deal appears to be a huge step in the right direction for Blockbid.
While the Cryptospace is yet to gain the full backing of authorities globally, the burgeoning digital assets ecosystem is, however, making progress towards going mainstream in the near future and big whales in the industry have been taking considerable steps to make the high-grade services present in the traditional finance industry, available to bitcoin-related businesses.
Back in January, LexisNexis acquired ThreatMetrix for $817 million in a bid to up its game in the risk and business analytics space.
“ThreatMetrix is widely recognized as a leader in the digital identity space. Bringing that together with our own strengths in physical identity attributes will give our clients across all forms of commerce and geographies a more reliable, comprehensive approach to fraud and identity risk management while maintaining the privacy and security principles our customers have come to expect,”said Risk & Business Analytics CEO at LexisNexis, Mark Kelsey at the time.
Good for Blockbid
The Blockbid partnership with LexisNexis will be highly beneficial to the exchange as all its KYC/AML concerns will be excellently taken care of because the Melbourne-based exchange will also have access to a vast array of data pools with which it would identify and legitimize customer information.
“This deal is a great example of trying to bring the type of bank-grade capabilities to the cryptocurrency world that we’ve offered in banks around the world for decades,” said the Senior Vice President of LexisNexis,Thomas Brown .