In Brief:
- Tether that it will use Notabene, an end-to-end solution for crypto Travel Rule compliance.
- Notabene is to help Tether to bring out FATF crypto Travel Rule compliance across its global network.
Tether Operations Limited(“Tether”), the company operating the blockchain announced that it will use Notabene, an end-to-end solution designed for crypto Travel Rule compliance.
Tether will start testing Notabene’s protocol-agnostic solution in order to combat money laundering and crime in cross-border VASP-to-VASP transactions. Notabene is to help Tether to bring out FATF crypto Travel Rule compliance across its global network.
Notabene grants Tether to crack down, control all illegal transfers by transmitting user data for large cryptocurrency transfers to VASPs. The “Travel Rule” recommends that Virtual Asset Service Providers (VASPs) should consent to similar laws as directed financial institutions.
VASPs should do KYC processes and trade-related customer data between parties when transferring a small/large amount of digital assets.
“As pioneers of blockchain technology and leaders in transparency, we are dedicated to not only keeping up with new rules but helping shape them,” said Leonardo Real, CCO of Tether. “Because the Travel Rule traditionally applies to financial institutions, we see this as an opportune moment to foster cooperation across traditional and digital channels in order to create better services for customers globally.”
Last week research firm Hindenburg Research launched the Hindenburg Tether Bounty Program. The program has offered a reward of up to $100,000 for information of Tether(USDT) reserve backing.
On its part, Tether called it a “Cynical Bounty” and said, “This is not the first time Hindenburg research has orchestrated an apparent scheme in pursuit of profit. Nor will be the last. Tether abhors and denounces their actions and transparent motives.”
The news comes after CFTC fined Tether and Bitfinex for over $42 million for making misleading statements and illegal transactions.
