Wirex taps Sumsub for transaction monitoring, Travel Rule, and KYC solutions

Rick Steves

“We are thrilled to be partnered with Sumsub to ensure seamless compliance with the upcoming regulatory requirements for virtual asset service providers.”

wirex

Wirex has announced a partnership with Sumsub to integrate its Transaction Monitoring capabilities, Travel Rule compliance solutions for virtual asset transfers, and its KYC (Know Your Customer) software to verify the identity of new clients.

By leveraging the full-cycle verification platform, Wirex will be able to step up its compliance efforts at a time of great regulatory pressure in the digital asset space.

FATF rules will come into force in the UK on September 1, 2023

Wirex is a worldwide digital payment platform founded in 2014 by CEOs and co-founders Pavel Matveev and Dmitry Lazarichev. The firm offers a crypto-enabled payment card since 2015, having expanded its product offering in recent years to include crypto lending and a non-custodial crypto wallet that covers 130 tokens. Wirex US’s crypto app is powered by Zero Hash.

The partnership with Sumsub is expected to enhance Wirex’s compliance capabilities in order to address the new AML requirements by FATF which will come into effect in the UK in the coming weeks.

The Financial Action Task Force (FATF) is enforcing that virtual asset service providers (VASPs) must adhere to Anti-Money Laundering (AML) regulations to uphold transparency and accountability standards, with UK regulations set to come into force on September 1, 2023. Sumsub’s solution will enable secure Travel Rule information transfers between virtual VASPs, conducting all necessary KYC checks, AML screening, and verification orchestration in accordance with regulatory requirements and Wirex’s business needs.

The Travel Rule solution can be easily integrated with Sumsub’s advanced transaction monitoring (KYT) solution. Transaction monitoring encompasses a flexible set of procedures that typically include analyzing sender/receiver profiles, calculating risk scores, and cross-checking KYC and transaction data.

Sumsub’s Transaction Monitoring solutions will assist Wirex in preventing financial fraud and maintaining compliance. Recent internal data revealed 70% of fraudulent activity occurs after the Know-Your-Customer (KYC) onboarding stage, highlighting the necessity for continuous monitoring.

“Regulatory horizon is becoming increasingly complex”

Pavel Matveev, CEO and Co-Founder of Wirex, said: “We are thrilled to be partnered with Sumsub to ensure seamless compliance with the upcoming regulatory requirements for virtual asset service providers. By utilizing Sumsub’s Transaction Monitoring capabilities and Travel Rule compliance solutions, we’re committed to upholding the highest standards of security and protection for our user verification processes and our users’ virtual asset transactions.”

Andrew Sever, co-founder and CEO of Sumsub, commented: “The regulatory horizon is becoming increasingly complex, particularly for firms in the digital asset space. At Sumsub, we are committed to providing advanced verification and compliance solutions that empower businesses to navigate the evolving landscape – beyond the initial onboarding stage. This partnership with Wirex signifies a mutual commitment to maintaining the integrity of virtual asset transfers and ongoing transactions. Our full-cycle verification solution offers a comprehensive picture of all customer risk profiles, allowing our clients to make better-informed decisions and keep their businesses safe.”

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