Thread by @shyftnetwork

1/ Part-6 (1)

Today, we will discuss the transaction workflow consideration from a VASP's viewpoint.

Let's start. Shall we? 👀

So, here we go:

2/ Both Originator VASPs & Beneficiary VASPs have to do the following throughout the transaction workflow for Travel Rule compliance. 

Name Screening 🔍
Wallet Screening 🔍
Know Your VASP 🔍
Transaction threshold 🔍

3/ Now, let's look at three unique situations that Originator VASPs find themselves in a while complying with the Travel Rule.

We will see these situations one by one and get to know what options do VASPs have.

You be the judge and decide which of the options is better. ⚖️

4/ Situation-1: How to check if the respective wallet address is hosted or unhosted❓

Here, VASPs can either ask an originator or find it out through blockchain analytics solutions.

5/ Situation-2: How to determine which VASPs own the hosted wallet address❓

VASPs can determine it by asking the originator. This is a cumbersome and faulty process. 

After all, the originator may even submit incomplete information or falsify it outright.

6/ Another option is to use a discovery solution like Shyft Discover.

It fully automates the process and removes all the inefficiencies from it.

7/ Situation-3: How to obtain beneficiary information❓

There are two options here:

oVASP may either ask for the beneficial information directly from the bVASP. 

Or, they can ask it from the bVASP and verify it by asking the originator.

8/ So, what do we learn here? 

Obtaining user transaction data manually for Travel Rule compliance is a big no. 

Instead, VASPs should opt for a Travel Rule Solution here. 💡

9/ And what can be a better option than Shyft Veriscope - the only frictionless Travel Rule Solution from a user perspective?

Tap below for more details 👇
shyft.network/newsroom/shyft…

Well, that’s it for today! Comment below with your questions, and we will answer them asap. 👋

@threadreaderapp unroll #Veriscope #TravelRule