Cashaa Opens Broker Account for Crypto Businesses to Enforce New FCA Rules

Cashaa Opens Broker Account for Crypto Businesses to Enforce New FCA Rules
20.01.2020 11:42 am

Cashaa Opens Broker Account for Crypto Businesses to Enforce New FCA Rules


London-based crypto banking startup Cashaa is announcing the launch of a “Crypto Business/Broker” account to ensure crypto businesses/brokers are compliant with the FCA’s new rules for anti-money laundering and counter-terrorist finance and Fifth Money Laundering Directive (5AMLD).

Cashaa’s mission is to help crypto businesses get access to banking who have always struggled with traditional banks. Finally, in 2019, it started its operations in partnership with an FCA regulated entity intending to become the go-to banking services provider for underbanked industries worldwide.

“We launched our business banking services in 2019, but onboarding crypto businesses was a huge challenge, mostly due to changing compliance rules, sometimes unclear KYC and AML policies of the business or sometimes just loose behavior of founders. The Fifth Money Laundering Directive (5AMLD) became compulsory for European state from 10th Jan 2020, resulting inFCA to become the AML and CTF supervisor for crypto businesses. Based on my experience, the situation will get worse for many crypto companies out there who do not understand the implications. Our product is developed to adopt these new laws with reliable banking services to protect crypto entrepreneurs.” — Archit Aggarwal, CPO Cashaa

More than 1000 crypto companies have applied to Cashaa, mostly looking for a bank account and credit/debit card processing facility. Cashaa had turned down 80% of the applications because the businesses did not understand AML and CFT rules. Based on the experience of dealing with over a thousand crypto companies, Cashaa realized that most of the founders working in the blockchain or DLT space are are young, dynamic entrepreneurs, full of innovative ideas who mainly focus on engineering, but are lacking specialized compliance knowledge.

Cashaa’s “Crypto Business/Broker” account will have coded policies and systems to mitigate the risk of the business being used for money laundering or terrorist financing. We have integrated the KYC system for individual and corporate entities within the account for the due diligence of each sender/receiver when doing transactions. Three levels of the KYC system will do intrusive due diligence, known as enhanced due diligence when dealing with customers who may present a higher money laundering/terrorist finance risk, also including PEP (Politically Exposed Person) checks. Our systems, together with our reliable banking partners, will be doing the ongoing monitoring of all the transactions happening to make sure they are consistent with the business’ knowledge of the customer and the customer’s business and risk profile.

“We have put our experience of dealing with hundreds of crypto businesses and extended our capabilities through technology to our customers to give them the freedom to innovate with minimum worrying about the new FCA rules or 5AMLD.” — Kumar Gaurav, CEO Cashaa

From 22nd January onwards, businesses will be able to get a crypto broker account for Pound sterling (GBP) and Euro (EUR). Great Britain and Lithuania IBAN (International Bank Account Number) accounts with a unique reference number will enable FPS (Faster Payments Service), CHAPS (Clearing House Automated Payment System), SEPA (Single Euro Payments Area) and SWIFT (Society for Worldwide Interbank Financial Telecommunication) payments, allowing 3rd party payments up to 200 Million GBP.

There is no monthly fee to make sure small innovative crypto companies can use the product. The KYC checks and ongoing transaction monitoring will be done automatically in the account, to make sure each transaction is following the European 5AMLD. To make sure only serious companies are applying for the account, a small application fee of 100,000 CAS will be required. Interested Businesses can acquire CAS fromBinance DEX.

Related News

Civic and Coincover Announce the First-of-its-Kind Crypto Wallet With a $1 Million Protection Guarantee

Civic Technologies, a leading innovator in digital wallet solutions, today announced that Civic Wallet is the first and only crypto wallet to offer a $1 million (USD) digital... Read more »

Itiviti and Gemini to offer NYFIX connectivity for cryptocurrency customers

Itiviti, a leading technology and service provider to financial institutions worldwide, today announced that Gemini Trust Company, a next generation cryptocurrency exchange and... Read more »

Cybersecurity enables digitalization of the housing market

The DIAS platform, built by a Finnish technology startup Tomorrow Tech, and audited by cybersecurity company Nixu, enables digitalization of the housing market in... Read more » Becomes First Major Crypto Platform to Enable Users to Borrow USD with Crypto, the leading provider of cryptocurrency products including the most popular crypto wallet, has launched Borrow, a new product offering for users to borrow USD-... Read more »

Nogle Invests $3m in First Digital Trust

Hong Kong-based digital asset custody firm First Digital Trust has scored a $3 million investment from Taiwanese venture studio Nogle.

Spun out from FS firm Legacy Trust... Read more »

OKCoin Appoints Hong Fang CEO

OKCoin, a leading fiat-focused digital asset exchange with service in 184 countries, announced today that CEO Tim Byun has been appointed as Global Government Relations Officer... Read more »

Free Newsletter Sign-up
+44 (0) 208 819 32 53 +44 (0) 173 261 71 47
Download Our Mobile App
Financial It Youtube channel