Published on April 19th, 2017 | by bitcoin0
Utilizing Bitcoin – Are banks finally ready to acknowledge it?
Bitcoin intelligence provider Elliptic is rolling out a program with California-based Silvergate Bank to analyze and screen possible nefarious activity on the bitcoin blockchain.
For banks, often the associated risks are deemed higher than the potential rewards when considering new clients that operate in the bitcoin space – an often-cited stumbling block in the industry.
“The banks that are working with bitcoin companies really don’t have much visibility into how effective they are at handling the risk associated with bitcoin transactions,” said James Smith, Elliptic’s CEO.
Elliptic’s software allows financial institutions to take a more robust approach in vetting bitcoin businesses and complying with know-your-customer (KYC), anti-money laundering (AML) and Bank Secrecy Act (BSA) requirements.
While beneficial in this regard, Silvergate is already one of the exceptions to the rule in the banking world when it comes to bitcoin.