iDenfy Collaborates with Bitlocus to Enhance Security of Cryptocurrency Exchange through Biometric ID Verification
iDenfy, a RegTech startup based in Lithuania, has announced a strategic partnership with Bitlocus, a regulated cryptocurrency exchange renowned for its comprehensive crypto-to-fiat and fiat-to-crypto services. This collaboration aims to implement iDenfy’s full-stack Know Your Customer (KYC) solution, designed to boost user conversions while ensuring a streamlined and compliant verification process for Bitlocus.
As the cryptocurrency sector continues to grow, the necessity for robust security measures has become increasingly critical. In 2023, cryptocurrency-related scams and fraud resulted in staggering losses exceeding $4.57 billion. Such alarming figures highlight the urgent demand for effective identity verification solutions that protect users and foster trust in the digital asset marketplace.
In response to these challenges, Bitlocus has proactively partnered with iDenfy to enhance its platform's security. This partnership will introduce fully automated identity verification alongside advanced Anti-Money Laundering (AML) technologies, including screening for Politically Exposed Persons (PEPs), sanctions lists, and adverse media, thereby improving risk management processes.
Founded in 2019, Bitlocus is a regulated cryptocurrency exchange that offers a variety of services tailored to retail clients, focusing on decentralized financial solutions. The platform distinguishes itself from competitors by its dedication to creating a secure trading environment and providing a suite of tools that empower other FinTech and crypto projects, facilitating their growth through essential blockchain infrastructure.
As Bitlocus scales its operations, it sought a comprehensive RegTech platform that could deliver both KYC and AML compliance services without the need for multiple vendor partnerships. Additionally, Bitlocus aimed to customize its verification process based on varying risk levels, necessitating more stringent checks for customers exhibiting suspicious behavior.
Ultimately, Bitlocus selected iDenfy over other providers due to its seamless integration capabilities, strong market reputation, competitive service offerings, and support for diverse compliance processes, including verification and AML screening. This choice opens up new opportunities for Bitlocus and the potential expansion of its service portfolio, which currently includes Crypto-as-a-Service, white-label crypto exchanges, payment gateways, NFT development, and advisory services.
Through this partnership, Bitlocus will leverage iDenfy’s advanced biometric and facial recognition technologies, ensuring high accuracy in user identity verification. iDenfy's ability to recognize, verify, and extract information from over 3,000 identity documents across 200 countries enables comprehensive and precise user document analysis on a global scale. Notably, the transition to an all-encompassing KYC/AML platform has transformed the user experience, simplifying the KYC check into a quick, four-step process that averages under one minute.
For Bitlocus, ensuring thorough user verification is not merely a regulatory obligation but a fundamental aspect of its commitment to a secure trading environment. The integration of iDenfy’s identity verification and AML screening solutions was motivated by the need to bolster security protocols while preserving an exceptional user experience, which is crucial in today’s cryptocurrency landscape.
Andrius Normantas, CEO of Bitlocus, stated, "With iDenfy, we have already observed positive changes in our user onboarding process. The ability to swiftly and accurately verify user identities enables us to uphold the highest security standards on our platform."
Domantas Ciulde, CEO of iDenfy, expressed enthusiasm about the partnership: "We are thrilled to collaborate with Bitlocus. Our team's expertise allows us to enhance the experience for both end-users and the platform’s internal compliance team, focusing on the critical nuances essential in the crypto sector."