- This partnership will see ETC Labs offer startups running on ETC access to Chainalysis KYT.
- Integrating the Chainalysis KYT solution will help the firms automate compliance and reporting.
- This move aligns with ETC Labs’ mission of addressing challenges inhibiting blockchain growth.
Ethereum Classic Labs has joined hands with Chainalysis, a blockchain analysis firm, to introduce Chainalysis Know Your Transaction (KYT). A blog post unveiled this news on September 9, noting that KYT is an automated transaction monitoring solution that detects high-risk activity from OFAC-sanctioned addresses. The solution also helps identify transactions emanating from darknet markets, anomalous, and fraudulent transactions. This deal will also see ETC Labs offer a training and certification platform to its accelerator startups at a reduced rate.
According to the blog post, Chainalysis KYT blends top blockchain intelligence and a user-friendly interface with a real-time API. In so doing, it minimizes manual workflows and helps crypto businesses adhere to local and global regulations. Apart from Chainalysis KYT, Chainalysis will also grant ETC Labs’ startups, projects, and grantees access to its subject matter experts on compliance and regulation, helping them scope their necessities.
Are you looking for fast-news, hot-tips and market analysis? Sign-up for the Invezz newsletter, today.
Commenting on this development, Jason Bonds, Chainalysis CRO said,
“Compliance is critical for many cryptocurrency businesses, particularly those offering some form of exchange, custody, or other money services. But cryptocurrency compliance is complex, and it’s often a barrier to entry for founders starting a cryptocurrency business.”
Creating a fair environment for early-stage startups
According to James Wo, the founder, and chairman of ETC Labs, this partnership will offer a necessary resource for companies building on ETC. He added that it is a natural progression that has the potential to level the playing field for early-stage startups, allowing them to build their firms successfully and responsibly, all while remaining informed.
Per the publication, Chainalysis will help the startups automate compliance and reporting. On top of this, the companies running on ETC will be able to integrate the Chainalysis KYT solution into their operations via an API. A move that will allow them to start monitoring large volumes of activity easily. This integration will also help them identify high-risk transactions in real-time across ETC and other leading crypto coins.
Additionally, the Chainalysis KYT solution will help the startups conduct regular reviews of their user bases, paving way for the automatic inclusion of the latest data.
Striving to address challenges inhibiting blockchain development
This news comes as Ethereum Classic Labs continues forging strategic partnerships to help tackle difficulties that hinder blockchain development. For instance, earlier this year, the firm joined hands with OpenGSN to integrate Gas Station Network (GSN), a pluggable service that lets dApp providers offer gasless transactions, into its platform.