Nexo always seeks to adopt and employ the most innovative security standards in the digital asset space. Today, we have reached yet another milestone in this mission by announcing our official participation in TRUST, the Travel Rule Universal Solution Technology.
TRUST is an industry-driven solution for top-tier compliance with The Bank Secrecy Act also known as the “Travel Rule”. Through our involvement in TRUST, Nexo joins the ranks of Coinbase, Anchorage, BitGo, Fidelity Digital Assets, Robinhood, and others in leading the charge towards a secure and fully compliant blockchain ecosystem. As one of the most safety-focused crypto companies and a business that communicates with regulators proactively, TRUST is a valuable solution for our operations as well as the thriving of our industry, one we are honored to now be an active participant in.
TRUST sets new benchmarks for customer data and privacy protection on a global scale, including:
- Customer data is processed from one TRUST member to another via end-to-end encrypted channels and is never stored centrally, to protect against third-party attacks.
- TRUST uses a mechanism for the data receiving party to prove ownership of the receiving digital assets address prior to sending customer information. This ensures the correct dataset is sent to the right institution.
- All TRUST members abide by fundamental AML, security, and privacy requirements before joining the solution.
More About the Travel Rule?
The Travel Rule is essentially legislation that obliges financial institutions to transmit certain customer information to the next financial institution when a transaction exceeds a specific amount and the transfer involves more than one financial institution. While the Bank Secrecy Act represents United States Department of the Treasury legislation dating back to 1996, TRUST intends to serve globally as the underlying technological solution and legal framework to safeguard customer data and privacy in the data exchange between participating financial institutions.
TRUST is yet another step for Nexo in our tireless efforts to protect our customers and provide them with a platform of unmatched security and full compliance with global legal requirements.