BitMEX, which claims to be one of the world’s most trusted crypto trading platforms for professional and institutional traders, has joined the Travel Rule Universal Solution Technology (TRUST), which is described as an industry-driven Travel Rule compliance solution for global virtual asset service providers (VASPs).
In addition to its existing implementation of VerifyVASP and Notabene’s sunrise plan, TRUST is BitMEX’s latest initiative “to further expand its Travel Rule compliance capabilities, with the aim to enable compliance globally while protecting the privacy of users’ data.”
The Travel Rule requires VASPs “to collect and exchange identifying information on the originator and beneficiary when conducting transactions with other obliged financial entities.”
With a growing implementation of the travel rule internationally, it is now crucial for VASPs to be able “to exchange required data with each other in a safe and secure way. TRUST protocol facilitates this process across global markets while protecting the security and privacy of its members.”
Essentially, TRUST implements the following first-class safeguards:
- No central storage of personal data: TRUST never stores sensitive customer information centrally, and information is sent directly from one TRUST member to another through end-to-end encrypted channels;
- Proof of address ownership: TRUST includes a mechanism for the receiving exchange to ensure that the right information is sent to the right exchange;
- Core security and privacy standards: All TRUST members are obligated to meet core requirements related to anti-money laundering, sanctions, security, and privacy.
Stephan Lutz, Acting CEO and Group CFO at BitMEX, said:
“Joining TRUST is an essential move for BitMEX to maintain compliance internationally whilst demonstrating a core industry value – robust protection of customer privacy and security. As we adapt to the evolving regulatory environment, TRUST will broaden our existing Travel Rule capabilities, supporting us to provide a safe and reliable trading experience for our growing community as we actively work to expand to other jurisdictions worldwide.”
Compliance with Travel Rule is key to a strong compliance program.
BitMEX claims it is “committed to be at the forefront of compliance and driving global industry standards with its peers to provide a trusted and secured trading environment, paving the way for more widespread public adoption.”
Alongside more than 75 crypto companies including Binance.US, Crypto.com, Gemini, and Kraken, BitMEX is committed “to put in place a safeguard user privacy with peers in the industry via TRUST.”
Devoted to advancing the platform to cater for the needs of professional traders across the world, BitMEX will continue “to ensure high-integrity practices amid constant changes in the regulatory landscape.”