PureFi has launched its ZK-proof-based KYC and AML integration for the Uniswap decentralized exchange, marking a new approach to security and compliance in DeFi.
A New Solution for Uniswap
PureFi has announced the launch of its ZK-proof-based KYC and AML integration for the decentralized exchange Uniswap. This integration creates a secure and compliant environment through the use of a unique verification system that increases checks based on transaction volume and adapts to evolving regulations.
Challenges and Prospects of Integration
Not everyone agrees with the approach. Hedi Navazan from 1inch Labs has expressed concerns that relying on transaction volume for progressive compliance might not suit DeFi. She argues that risk assessment should be more holistic, taking into account a variety of factors, not just transaction volume.
DeFi’s Long Battle with Compliance
Navazan pointed out that mechanisms effective in centralized finance often don't work for its decentralized counterpart, due to the latter's emphasis on privacy and autonomy. She highlights that ZK-proofs could provide a solution, offering a way to balance between confidentiality and regulatory demands.
PureFi's ZK-proof-based integration offers an innovative solution for DeFi, capable of ensuring a combination of security and compliance, which is particularly crucial amidst the growing expectations in the crypto industry.
