As regulatory iris weaves a tighter net around the globe, cryptocurrency lending platform, Nexo, has pledged its commitment to keep pace with growing compliance demands. The platform has announced it would join the association of certified sanctions specialists (ACSS), leveraging the organization’s training resources, network, and data. The ACSS aids in honing the skills of sanctions experts across diverse sectors, including financial firms, multinational corporations, and legal companies.
The ACSS certification, held high as a universal standard, toughens up the skill sets of sanctions specialists in several areas such as due diligence, policy, screening, compliance, and research. A reliable source has confirmed that Nexo would require its compliance personnel to obtain ACSS certification, stepping up the credibility ladder of its compliance team. The company aims to adhere closely to stringent compliance standards as the crypto world continues to broaden its horizon.
Following an audit of Service and Organization Controls, Nexo had already procured an AICPA certificate. This audit is an essential step in the financial sector to ensure the security and protection of client data. Despite the fact, in February 2023, Nexo bid farewell to its yield-bearing Earn Interest product in the United States after parting with $45 million in penalties to the Securities and Exchange Commission and the North American Securities Administrators Association. The termination came due to an investigation by the SEC and 17 state securities regulators over the product offered by Nexo. The company neither confirmed nor denied any findings but did pay hefty penalties against the charges.
Late in 2022, Nexo decided to halt its operations in the U.S., the regulatory uncertainty purportedly posing a significant barrier to continued business operations in the country. Nexo’s commitment to bypass compliance demands across various jurisdictions globally seems to be following a trend among significant crypto exchanges and service providers.
Treading the same path, Binance.US and Coinbase had also faced SEC scrutiny over alleged securities violations. Concurrently, crypto platforms and exchanges continue to apply for licenses or permits across various jurisdictions globally. The regulatory tussles and the increased willingness for crypto firms to transition to a more regulated environment might hint at an interesting intersection between traditional financial systems and the disruptive crypto ecosystem.
Source: Cointelegraph
