With a growing number of countries enforcing the FATF Travel Rule, more and more Virtual Asset Service Providers (VASPs) are turning to Travel Rule Solutions, such as Shyft Veriscope, for their compliance needs.
Due to a lack of data standards, it has been challenging to facilitate Travel Rule compliance at a global level, especially amid an astounding growth in the number of crypto transactions that VASPs have been processing. Exchanging critical data manually has been out of the question, given the scale of operations and the global nature of the industry.
It compelled Industry leaders to get together and develop a globally-agreed data standard called InterVASP Messaging Standard or IVMS101.
The IVMS101 is meant to help with language encodings, numeric identification, pronunciations of phonetic names, and standardized codes for countries.
It is making it easier for VASPs to transmit critical transaction information, such as originator or beneficiary details, as mandated by the FATF.
While using Travel Rule solutions, VASPs now realize the need for tools that could enable them to verify if they are using the correct file or not. Thus, Shyft Network has developed an open-source tool called IVMS Validator to fulfill this demand, unlike other available solutions.
The steps the validator would have to follow are laid out in the relevant Veriscope docs, which you can check here. At a broader level, the validation may happen through two routes.
The first one is where the validation would happen at the user’s Veriscope instance, assuming that the end-user has Veriscope installed, up and running, in a machine that the user can ssh into.
The second route is where the validation would happen through a JSON schema validator.
The first route would require VASPs to validate an Originator IVMS and a Beneficiary IVMS before validating the complete Originator and Beneficiary IVMS.
For the JSON schema validator route, VASPs must first download the JSON schema file from the Shyft Network repository. Next, they would have to paste the schema into the online, interactive JSON schema validator.
The third step would include pasting the JSON file to be validated. Finally, if everything is proving okay, VASPs would see a confirmation message saying, “No errors found. JSON validates against the schema.”
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VASPs need a Travel Rule Solution to begin complying with the FATF Travel Rule. So, have you zeroed in on it yet? Check out Veriscope, the only frictionless crypto Travel Rule compliance solution.
Visit our website to read more: https://www.shyft.network/veriscope and contact our team for a discussion: https://www.shyft.network/contact
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