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PureFi x Kirobo Are Going to Make an Offer You Can’t Resist


Check the source of the sender’s funds and retrieve the crypto transfers that were sent by mistake

The beauty of crypto lies in the endless opportunities, which is attractive to many. Given the recent shifts in capital flows, we can trace the shift of interest in favor of decentralized finance (DeFi). Although it is risky due to high volatility, being a young market like DeFi is unregulated also carries some other more important threats.

The real danger is that there is no boundary between the endless opportunities, which ultimately trapped DeFi into becoming a major playing field for money laundering (ML) and terrorist financing (TF). The absence of “know your customer” and “anti-money laundering” procedures adds another record to the fire. Even statistics show that DeFi money laundering is on the rise – about $34 million in DeFi transactions in 2020 were made by criminal actors.

Fortunately for crypto users, companies like Ciphertrace, Chanalysis, PureFi, Hacken, etc. are working to reduce the gap between mass adoption and DeFi. Not long ago, PureFi, a decentralized protocol that provides compliance tools while maintaining the anonymity of users, Kirobo, a DeFi technology company that offers users the ability to retrieve crypto transfers, and the inventor of Liquid Vault, entered into an interesting collaboration that brings together the best of both companies. It combats the flow of illicit money in the DeFi industry. how? let’s see.

When making a secure transfer, the user will be able to check the counterparty to whom he wants to transfer the crypto and decide whether it will interact with a particular wallet or not. In addition, the user himself will be able to see the AML score of the incoming transaction and decide whether to accept or reject it based on the results of the result. In the case of a high-risk for the sender, the recipient can easily “undo” the transaction that protects their wallet from dirty money. The same goes for secure P2P swaps – users will be able to see the AML score of each wallet that participates in the swap interaction.

Another exciting part of their collaboration is the integration of PureFi that will happen inside Kirobo’s Liquid Vault. A planned feature allows users to check the wallet they are using to create the Vault and see if it has an appropriate AML risk score in the early stage. Furthermore, Kirobo users will be able to check the AML score of a DeFi pool or smart contract before interacting with it, thanks to the PureFi solution. As the Vault is also constantly being developed and updated, other features such as PureFi’s AML checks and potential KYC elements will be incorporated in the future.

It would certainly be interesting to see further development of such initiatives.