It’s an absolute pleasure to e-meet you. My name is Anastasiia, the CMO of PureFi, and today I would like to talk to you about one of the building blocks of our project, a Zero-Knowledge Proof method.
The beauty of cryptography lies in endless opportunities in so many different ways. Even the ones you might not have been aware of yet or those you didn’t know where else to apply to.
I would like to dedicate today’s story to a situation that I’ve stumbled upon recently when traveling to London.
Perhaps some of you, just like me, likes…
Have you ever experienced delays in processing your transactions? So did we.
The biggest cryptocurrency networks are facing the issues of scaling and therefore, trying to look for a solution and manage the problem of slow transaction processes.
One of the solutions presented is Layer 2 (L2), a framework that’s built upon the existing system of Blockchain. Layer 2 is essentially a proposal to scale-related issues and carries several solutions per se.
Despite having their own working mechanisms and particularities, both of the solutions are striving…
Nowadays in the decentralized world, it’s easy to get lost between the terms, especially, when they carry similar definitions but serve different functions.
Today we will take you through the difference between NFT (Non-Fungible Tokens) and Verified Credentials (VC) to avoid a pitty confusion once and forever.
NFTs have been around for quite some time but only recently, they’ve gained huge popularity among the users. Unlike your usual interchangeable tokens, NFTs are one-of-a-kind unique tokens that can ONLY replace the value of anything you exchange this token for. …
Many pools would like to attract honest players and they are, of course, able to succeed simply by featuring a “no dirty money” policy and promising to keep the liquidity clean. We came up with a solution where you can accept the liquidity anonymously, just as all DEXs lovers prefer, and at the same time make sure the money stays clean. Let’s get deeper into it. Let’s draw a case where a liquidity pool operator (user C) wants to accept liquidity from the unknown user X.
How does the operator know whether crypto assets are clean? …
On May’2021, the DeFi market value was more than $130 billion (by CoinMarketCap) and increased by nearly 1600% in 7 months. DEX as the most popular DeFi application is extremely interested in the ML/TF debates around the DeFi market. The lack of a KYC procedure in DEX makes it easier for users to trade — just make a new wallet in-app and start trading right now. But on the other hand we are facing the statistically growing risk of ML/TF exactly on DEXs.
For instance, in 2020 the proportion of “bad coins” (e.g. coins coming from or going to: exchange…
Basically, the traditional financial system has a tightly regulated global structure of legal protections and requirements, but the crypto industry does not. Although many corporations and jurisdictions work hard to ensure the safety and security of their territory, not all jurisdictions can say the same.
So where and how we can trap the risks of dirty money?
Sources of cryptoassets can be potentially tied or directly linked to illicit activity. For example, funds may be transacted from a platform with little-to-no AML or Know Your Customer (KYC) regulations in place, a possible red flag about the origin of the funds.
Both DeFi and DEXs are unregulated and appear to be an anonymous zone, thus, occurring so attractive for LP (liquidity pool) providers/farmers. Especially attractive for criminals. Several DEXs on the market try to be more credible and comply with KYC/AML regulations. This way DEXs make sure to collaborate with trusty financial market players and VCs.
Let’s imagine a case where user B decides to supply his liquidity to one of the regulated liquidity pools. User B should now follow a different set of instructions which include:
1. user B must provide a liquidity pool address to the VC whitelist.
2. user B must request VC data disclosure to the particular liquidity pool.
In this case, user B is covered with validations in any dApps. A VC certificate will allow user B to move forward with a full-fledged KYC/AML verification.
PureFi is the only DeFi AML protocol for cryptocurrency onboarding. Developed by AMLbot in partnership with Hacken, Crystal, and Vareger, it aims to provide a full-cycle solution for crypto asset analytics and AML/KYC procedures on the DeFi market.
If you have ever experienced issues with decentralized exchange having their own regulatory restrictions on user registration (e.g. DEX does not authorize US residents and users under the age of 18), we are here to help you out we highly recommend you to provide a PureFi VC certificate in such a case and give the DEX access to the requested information without disclosing other KYC and metadata from NFT (ZK SNARK). In this way, you get to a win-win situation where you may remain completely anonymous, and DEX meets the regulatory requirements.
In the last year, yield farming, also referred to as liquidity mining, became a popular way of generating rewards from your cryptocurrency holdings. In other words, you lock the cryptocurrency and wait for the APY (Annual Percentage Yield) rewards. Only in 2020 within the period of 2 weeks, the total value locked in DeFi applications has reached from $2 to $3 billion.
Let’s imagine a situation where user A decides to supply liquidity to the unregulated liquidity pool in return for APY. …
To know more about PureFi, join our Telegram Group.
As you may already know, DeFi, just like Blockchain, aims to create decentralized versions of financial instruments and services you’re operating with daily: loaning, borrowing, lending, you name it. If you’re still not sure about it, the comparison you may draw to understand it is:
what Bitcoin is to cash = DeFi is to traditional financial tools.
Once and forever, DeFi allows you to be truly in control of your assets and on top of it, presents you with plenty of opportunities like DApps to develop upon them and benefit financially…
The one-stop compliance protocol for DeFi