ICO Regulatory Compliance Solution Released By IdentityMind Global

Announcements, ICO News | February 2, 2018 By:

IdentityMind Global has released its know your customer (KYC) plug-in for initial coin offerings (ICO).

IdentityMind Global is a provider of anti-money laundering (AML) and compliance services for bitcoin and crypto companies, and offers an advanced compliance platform for digital currencies.

The new KYC plug-in provides a turnkey solution for customer onboarding functionality and user experience to walk ICO participants through the know your customer (KYC) process to meet regulations worldwide. It will enable companies to perform required KYC and AML checks on ICO participants.

The IdentityMind KYC plug-in for ICOs includes a web-ready software client that directs the participant through the entire KYC process; a pre-configured risk-based KYC rule set that meets the regulation of the countries; reports to satisfy examiners and regulatory auditors; and a platform to perform enhanced due diligence for clients.

“As ICOs become more prevalent, and as money continues to flow into ICOs, regulators globally are starting to take notice,” said IdentityMind Global CMO Jose Caldera. “The regulatory risk, in conjunction with the risk of enabling fraudsters, financing of terrorism, and money launderers, should motivate organizations performing ICOs to properly identify the participants in the ICO process. IdentityMind is at the forefront of delivering an easy compliance solution to companies conducting an ICO.”

Last year, there were approximately 266 ICOs in Q3 and 500 in Q4, and over $4 billion was raised, according to industry researcher Token Report. IdentityMind has reportedly realized significant customer traction in the ICO market with over 40 clients using IdentityMind to raise over $450 million.

Kristina Yee, senior analyst for Aite Group Retail Banking and Payments, said Aite’s research has found that there is a critical mass of young companies that are demonstrating ‘best effort’ to regulators by acting on expert advice from compliance, anti-fraud and AML professionals. He added that companies planning ICOs need to work with knowledgeable service providers to implement the appropriate KYC processes. Those entities that have made no or little effort to meet compliance stand out from the compliant crowd and are vulnerable to fines and serious penalties.