Upbit Indonesia Supports VerifyVASP's Achievement In Securing 200 Billion US Dollars Digital Asset Transfer

Photo: Doc. Upbit Indonesia

JAKARTA - VerifyVASP, market leader of virtual asset compliance solutions, made an important achievement in the implementation of Travel Rule: processing verified virtual asset transfers worth 200 billion US dollars on 10 million verifications since its formation in 2022.

Travel Rule is an AML/CFT regulation that requires financial institutions and virtual asset service providers (VASP) to share data and verify user information when transferring funds or virtual assets.

General Manager of VerifyVASP EMEA, Elsa Madrolle, said it had processed virtual asset transactions worth US$200 billion for verified partners.

"In fact, the response to transfer messages is not always accepted in the implementation of other regulations. Our average verification success rate is 92 percent. So, our members increase user confidence. Ahead of the implementation of the Travel Rule in the European Union, we prove that this regulation has been achieved at a wide scale. On the other hand, we are also improving the user experience," he said, in a written statement, Wednesday, October 9.

To achieve this achievement, VerifyVASP built a series of solutions to verify the identities of all stakeholders, both Virtual Asset Service Providers (VASP) and end users, before transfers and deposits were made. Not only that, there is also a fully decentralized peer-to-peer protocol to ensure transaction speed and security.

This solution can verify various entities, both mandatory and unmitigated, to comply with the Travel Rule regulations while still following the applicable legal basis, so as to also solve the major problems posed by the sunrise issue (issues in which the Travel Rule has not been fully applicable in all jurisdictions).

In an era with unprecedented levels of fraud, identity fraud, and illegal activity in the virtual and traditional sectors, the effective implementation of the Travel Rule has succeeded in reducing some of these risks. VerifyVASP members reported almost no case of impersonation scams reported by their users.

Travel Rule implementation has a significant impact on its users, although the new requirements do require some changes when the user makes a transaction, it turns out that these changes bring trust and confidence in using VASP on users who have adhered to transfer rules from the start, of course when implemented properly.

As the deadline for implementation in various jurisdictions, including the European Union, VerifyVASP's achievements show that the correct Travel Rule implementation is not only about compliance, but is also a key factor in building a safer and more developing ecosystem.

Upbit Efforts In Transaction Security And Global Compliance

As part of efforts to ensure transaction security and comply with global standards, Upbit Indonesia has implemented Travel Rule through VerifyVASP technology since 2023. VerifyVASP allows Upbit to verify user identities in each transaction, thus ensuring that all transaction processes are carried out safely and in accordance with international regulations.

"As part of an ecosystem that prioritizes compliance and supports regulations, we really appreciate VerifyVASP's achievement in implementing the Travel Rule on a large scale. With strict compliance with this rule, we can guarantee users that their virtual asset transactions are safe and reach the right side. This success also underscores the importance of security and transparency in this industry, and we are committed to continuing to support initiatives that strengthen trust and security in digital assets," said Upbit Indonesia's Chief Operating Officer (COO), Resna Raniadi.