Blockchain Firm AllianceBlock Teams With Avalanche’s Pangolin DEX

Announcements, Blockchain, News | August 18, 2021 By:

AllianceBlock, the chain-agnostic blockchain project building compliant and data-driven products that enable financial institutions to access opportunities in decentralized finance, has announced a strategic partnership with Pangolin, a community-driven DEX powered by Avalanche.

Under the partnership, AllianceBlock will help Pangolin grow in line with DeFi regulatory developments and make institutional access easy, thus introducing vast liquidity from financial institutions. AllianceBlock’s compliance framework will also allow Pangolin’s current users to choose their level of identity verification.

The Pangolin platform will integrate AllianceBlock’s Trustless KYC and Identity Verification product, which allows users to prove their identity in a trustless manner only once, and to subsequently prove their eligibility for sales and other activities without having to share personal information with multiple providers.

Pangolin will also become a node validator for AllianceBlock’s Bridge and will be integrated into the Liquidity Mining as a Service program, opening up a new ecosystem of projects that can benefit from their white label fundraising solution. Going forward, AllianceBlock will add an optional compliance layer to Pangolin’s services through its Cross Border Regulatory Compliance Layer. Cumulatively, AllianceBlock’s solutions will support Pangolin in inviting more retail and institutional investment onto its decentralized exchange in a scalable, compliant, and sustainable way.

AllianceBlock’s compliance solutions will be implemented on separate subnets of Pangolin. Users will be able to choose which networks they interact with and if, depending on their jurisdiction, they want to use the compliance service or not. The opt-in aspect will allow Pangolin to grow by allowing traditional financial players to bring liquidity into its platform. At the same time, it will also allow its users to choose their level of anonymity depending on the jurisdiction they operate in.

Rachid Ajaja, CEO and Co-founder of AllianceBlock, said that events in recent weeks make it crystal clear: regulation is coming to DeFi.

“As such, companies need to be prepared. One of the greatest challenges to DeFi projects today is making sure they are globally compliant,” Ajaja said. “DeFi’s global nature means this can be difficult to uphold across various jurisdictions with conflicting rules. Our products will allow Pangolin to be ready to onboard institutional clients in line with regulatory requirements and to stay ahead of the game, while at the same time giving their users the freedom to choose. Our goal at AllianceBlock is to bridge DeFi and TradFi. This is a perfect example of how we are working with leading projects in the space to achieve this. We look forward to extending our full product to Pangolin and the wider Avalanche ecosystem in the future.”

Justin Trollip of Pangolin said that being able to rely on a streamlined solution for compliance opens new opportunities for their decentralized exchange in user acquisition and institutional investment in a sustainable and future-proof way.

“At the same time, it preserves the freedom to choose compliance levels for our current users,” said Trollip. “We’re excited to be a part of AllianceBlock’s broader ecosystem. Both teams have seen the value in working together as we continue to expand.”