Neo is one of the first groups to join the Web3 KYC Alliance. This is a group of blockchain companies that want to use identity solutions to make sure they follow the rules set by the government. Neo wants to become more known in South Korea for its blockchain technology. They are teaming up with others to follow the rules about sharing information when people make cryptocurrency transactions.
The Financial Action Task Force is a group from around the world that makes rules to stop people from washing money and doing other illegal activities. The FATF’s Travel Rule helps stop bad people from using money for crime and terrorism. Virtual asset service providers such as exchanges, wallets, and custodial solutions must get personal information about the person sending and receiving digital assets when transferring to another service provider or financial institution.
The Bifrost Foundation created the Web3 KYC Alliance to help grow the Bifrost Network, which is a network for dApps that can work together with other networks. First, we will work with organizations in South Korea to follow the rules and regulations, and also to get help with preventing money laundering.
KICA uses public key services to keep things secure and gives out about 3 million certificates a year. They have 43% of the market. CODE says it is the only company in South Korea that follows the Travel Rule. Together, KICA and CODE have about 20 million users.
The Web3 KYC Alliance will work on creating Web3 identity solutions that follow KYC authentication and Travel Rule regulations. The Alliance wants to create a decentralized way to prove who you are. When someone is identified, they will get a special token that only they can use. A SBT is a special token that can only be owned and moved to one address. The blockchain system will let users check if their wallets have the necessary KYC status for services that need this information.
In the end, the Alliance wants to protect people’s personal information and help traditional Web2 companies move to the blockchain industry easily.