Sumsub, a global full-cycle verification and compliance provider, today announces the integration of its Travel Rule solution with the Binance cryptocurrency exchange platform through the Global Travel Rule (GTR) Alliance.
The new integrated solution aims to provide access to a large ecosystem of Virtual Asset Service Providers (VASPs) participating in the Sumsub Travel Rule ecosystem, as well as financial institutions and fintech companies involved in crypto transactions to ensure secure data validation transactions when trading with Binance entities totaling 183 million+ users.
This partnership enhances Sumsub’s existing Travel Rule compliance solution for crypto companies worldwide. Leveraging Sumsub’s crypto expertise and cutting-edge technologies, the companies are building interoperability to address the so-called sunrise issue, which is the biggest challenge in the crypto compliance space – that is, counterparties being unreachable due to the fact that not all VASPs are required to comply with the requirements of the Travel Regulations.
This partnership connects the world’s largest crypto exchange to Sumsub’s already broad ecosystem of VASPs. With a focus on global interoperability, regulatory assurance and market reliability, the collaboration is a huge step towards ensuring streamlined and interconnected cryptocurrency trading.
Steve Christie, Binance’s Deputy Chief Compliance Officer, shares:
“The Global Travel Rule Alliance is an exciting step forward in strengthening our international compliance efforts. We are particularly excited about the ability it gives us to consolidate our efforts globally, overcoming the challenge of fragmented regional integrations. This move doesn’t just bring us into line with global FATF standards – it’s about proactively providing our extensive user base with assurance that their data and transactions are secure. This alliance reinforces the trust, security and transparency our users can expect on Binance.”
“Integrating with the Global Travel Rule Alliance is an important milestone for us, underscoring the importance of collaboration in the crypto space. The integration of the GTR protocol with Sumsub’s Travel Rule solution is a significant advance in ensuring interoperability and addressing the sunrise issue,” comments Jacob Sever, Sumsub’s co-founder and Chief Innovation Officer. “By enabling seamless interaction between members of both ecosystems, this partnership not only strengthens the infrastructure of the global crypto ecosystem, but also strengthens trust both within and outside the industry. Looking forward, Sumsub is empowered to work on natively integrating other protocols into the Travel Rule solution in the future.”
Founded in 2017, Binance has been among Sumsub’s customers since 2021. In March 2023, Sumsub benchmarked the cryptocurrency industry by launching its protocol-agnostic travel rule solution, offering a complete compliance toolkit across the customer lifecycle . Sumsub is constantly sharing its vast expertise with the crypto and wider tech community.
In October 2023, Sumsub analyzed 800,000+ fraud attempts and millions of verification checks in the crypto sector between 2022-2023, conducted a survey of 100+ crypto companies and collected interviews with crypto experts, resulting in the release of the “State of Verification and Monitoring in the Crypto Industry 2023 Report”. According to its findings, the Travel Rule remains one of the two main challenges for crypto companies worldwide, the other being more advanced fraud methods such as AI-generated deepfakes.