- Elliptic announces its partnership with Zilliqa
- Elliptic aims to shield Zilliqa from risk
Zilliqa News Today – Elliptic, a blockchain monitoring startup, is providing anti-money laundering services to the blockchain of Zilliqa and its digital currency. The firm announced the partnership on Wednesday, and it means that the London-based startup will start monitoring transactions passing through the blockchain of Zilliqa. They will also monitor those in the native currency of Zilliqa – Zil – and also in the forthcoming Singaporean dollar-pegged stablecoin XSGD. According to a press release, the new stablecoin will be launched in December this year, which is just a few days away.
Elliptic Aims to Shield Zilliqa from Risk
The fundamental goal of the London-based Elliptic is to shield Zilliqa from risk by proving to regulators and governments across the globe that Zilliqa users are not trafficking across the network with potentially illegal funds.
Zilliqa (ZIL) Price Today – ZIL / USD
The chief scientist of Elliptic – Tom Robinson – told CoinDesk, via a spokesperson, that the firm provides tools that allow digital currency trading platforms and other firms to identify funds that are being laundered by tracking transactions. In a statement, he said:
“Our tools allow these services to identify whether funds are being laundered through their businesses, by tracking each digital currency transaction all the way from the blockchain down to its source. If the destination of the fund is one of the illegal wallets we have previously identified, we will alert the business and take the required steps to prevent the money laundering from taking place.”
Zilliqa Complies with the Guidelines of Regulators
The announcement of this new partnership comes at a time when there is increased pressure from such regulators. A few months ago, the Financial Action Task Force unveiled its Travel Rule guidelines upping compliance steps for digital currency trading platforms.
While the soon to be launched XSGD will be a Singaporean-pegged stablecoin, the release of the coin coincides with the government’s close extermination of stablecoin regimes, including in the United States. The blockchain monitoring startup already has experience fishing out such activities.
Elliptic is one of the early startups to provide digital currency transaction tracking services. Last week, the firm issued a report tying XRP worth $400 million to illegal activities such as Ponzi schemes. In a statement, the president of Zilliqa – Amrit Kumar – said:
“While the promise of the digital economy is a truly exciting one, it is also imperative that established standards around security and compliance remain uncompromised.
AML oversight adds another layer to the blockchain of Zilliqa. In June, it announced support for smart contracts.