blockchainreporter.net
Flare, the innovative blockchain platform renowned for its data capabilities, has unveiled a strategic partnership with Elliptic, the global leader in cryptoasset risk management. This collaboration aims to bring advanced transaction and wallet screening tools into the Flare Network, bolstering the security and regulatory compliance of decentralized applications (dApps) built on Flare. This move highlights the growing importance of risk management in the ever-expanding crypto ecosystem.
Hugo Philion, CEO and Co-founder of Flare, expressed his enthusiasm for the partnership, stating, “By providing developers with data as a public good, we are opening the door to many new potential blockchain use cases and monetization models. Partnering with Elliptic helps us to deliver a highly secure environment for dApp builders, bringing further confidence and credibility to the Flare blockchain while protecting network participants.”
Enhancing Security and Fostering Safe Engagement
Under this partnership, organizations developing dApps on the Flare network will gain access to Elliptic’s real-time wallet and transaction screening solutions. These tools are designed to identify connections to illicit actors and activities within the crypto space, providing users with a robust means to prevent money laundering, adhere to sanctions, and combat fraud.
Elliptic’s wallet screening solution offers a streamlined and precise due diligence process for crypto wallets prior to transactions, enabling organizations to safeguard their operations. Meanwhile, the transaction screening tool, a fully automated real-time monitoring system, is vital for anti-money laundering compliance. It traces the movement of crypto assets across various blockchains, effectively identifying links to terrorist financing, sanctioned entities, and other illicit activities.
An essential facet of this integration is that Elliptic’s monitoring, compliance, and analysis software now supports FLR, the native asset of Flare. This means that financial institutions, businesses, and regulators can utilize these cutting-edge software tools to identify a wide spectrum of illicit activities, ranging from small-scale fraud schemes and money laundering to sanctions evasion and terrorist financing.
James Smith, Co-founder of Elliptic, stated, “By supporting the Flare network, Elliptic aims to help the organization in its mission to drive the adoption of safe and secure dApps, increasing their relevancy and encouraging wider engagement with the Flare community and blockchain technology. Our next-generation wallet and transaction screening tools will help make dApps operating on the Flare network safer, more regulation-ready, and better protected from inadvertent exposure to sanctioned entities.”
Shaping a Secure Crypto Ecosystem
Elliptic is recognized for covering 99% of cryptoassets by market capitalization, armed with over 100 billion data points that provide accurate and actionable insights. These insights are crucial for mitigating risks and ensuring compliance. With this integration, financial services companies operating on the Flare Blockchain can enhance their on-chain compliance and protect their businesses from engagement with sanctioned actors.
Flare, often described as the blockchain for data, distinguishes itself as an EVM smart contract platform that extends the utility of blockchain technology. It incorporates decentralized oracles into its network structure, making it an ideal smart contract platform for decentralized data acquisition, including price and time series data, blockchain event and state data, and Web2 API data. Flare aims to provide developers with trustless access to a broad spectrum of data at minimal cost, serving as a utility layer for the blockchain industry and enabling the development of new and improved use cases.
Elliptic, headquartered in London with offices in New York, Singapore, and Tokyo, has positioned itself as the global leader in cryptoasset risk management for crypto businesses, governments, and financial institutions. Recognized as a World Economic Forum Technology Pioneer and backed by prestigious investors such as J.P. Morgan, Wells Fargo Strategic Capital, SBI Group, and Santander Innoventures, Elliptic has assessed risk on transactions worth several trillion dollars, uncovering activities related to money laundering, terrorist fundraising, fraud, and other financial crimes.
Flare’s role as a blockchain for data, offering trustless access to a wide range of data sources, combined with Elliptic’s expertise in crypto risk management, is set to shape the future of decentralized applications and blockchain technology. This collaboration not only strengthens security but also encourages wider engagement with the Flare community, ultimately driving the adoption of safer and more secure dApps. With the integration of these advanced tools, the crypto ecosystem takes a significant step toward a more secure and compliant future.