Zebpay, one of the largest cryptocurrency exchanges in India, has expanded its partnership with , a New York-based provider of compliance software for real-time monitoring of cryptocurrencies transactions.
The self-described “leading provider of AML software for Bitcoin” allows cryptocurrency exchanges to distinguish suspicious patterns in real-time and obtain law enforcement information. The company’s offering also includes a KYC solution, dubbed Chainalysis KYT (“Know Your Transaction”).
“While there are still steps that need to be taken to strengthen cryptocurrency regulation in India, exchanges like ZebPay that implement robust compliance and investigative software will be well-equipped for future developments,” Chainalysis said.
ZebPay had previously back in 2018, a few months after the RBI banned banks from providing financial services to crypto exchanges. The company returned to its home earlier this year but since leaving India it has set up operations overseas in Europe and .
into India comes in a time when the nation’s cryptocurrency exchanges are at a nascent stage, primarily due to regulatory uncertainties. Those trying to survive the uncertain phase are exploring options, including crypto-to-crypto, P2P, and derivatives products.
Although both the government and the have not imposed any restrictions on the P2P transactions, they completely forbidden cryptocurrencies. While the central bank has banned banks from dealing in virtual coins, the government is now drafting a law that would propose a jail sentence for any crypto users.
Chainalysis expands its reach
Over the past year, Chainalysis deployed its real-time anti-money laundering and compliance software, and also expanded its coverage beyond Bitcoin to include Ether, Litecoin, Bitcoin Cash, and stablecoins.
can help both crypto firms and law enforcement agencies detect suspicious activity in order to battle any related criminal activity. It uses pattern recognition, algorithms, and millions of open source references to “identify and categorize thousands of cryptocurrency services to raise live alerts on transactions involved in suspicious activity,” the company says.
The company has already signed other major cryptocurrency exchanges, including the likes of Binance, to automate their process of screening transactions and monitoring user activity.
Chainalysis has a few rivals in the market whose solutions strive to prevent, detect, and investigate cryptocurrency money laundering, fraud, and compliance violations. The biggest competitor, though, is the U, which offers proprietary compliance and fraud detection technology.
“We already knew the power of Chainalysis KYT’s automated compliance features and Chainalysis Reactor’s advanced investigative capabilities from our work with them in other markets, and we know Chainalysis will set us up for successful expansion in India,” said ZebPay President Avinash Shekhar.