AOFEX’s anti-money laundering measures are a strong protection for their users

AOFEX-Global Exchange
Nov 8 · 4 min read

AOFEX exchange, for example, anti-money laundering is an important mission for exchange compliance to better protect users assets.

I saw a new announcement on AOFEX, which wrote that AOFEX processed a number of accounts suspected of money laundering.

I remembered that it maybe be the third time that AOFEX has processed a similar account in a month. On the one hand, it shows how serious the phenomenon of money laundering in the field of digital currency transactions. On the one hand, it shows that AOFEX really pays enough attention to the users’ accounts. At least I have not seen any similar announcements launched by other exchanges.

The impact of money laundering on users may not be known to most people.

Yesterday i saw in a group, a buddy was just complaining that he had just came out of jail because of the suspected account.

He complained that he normally traded on OTC market in an exchange, and bank account was suddenly frozen.Because his counterparty was suspected of money laundering.But the police found the account along transfer record, and informed the bank to freeze it first and then investigated,Finally he was arrested. This kind of investigation usually lasts for several months and will not be unfrozen until it is confirmed that there is no problem at all. Once it is found that there is a real relationship with money laundering, it will not only be frozen, but also arrested.

After he stayed in prison for 15 days and there was no evidence of his money laundering, although he was temporarily released, but all the bank cards in his name were still frozen and it is estimated that it will take a long time to unfreeze.

So you may not think that other people’s money laundering has nothing to do with us, otherwise you don’t even know how you are implicated. Life and work may be affected.

Why am I so concerned about AOFEX’s cases of suspected money laundering accounts?

Because this is directly related to user’s assets security, but many exchanges do not pay attention to it, or have no actual actions or progresses.

Anti-money laundering is also an important mission of exchange compliance.

When we registered on an exchange, we need to first complete KYC (know your customer) verification.This identification process can effectively prevent part of money laundering accounts, but it can’t prevent 100%. The exchange also needs to have a complete and rigorous algorithm identification mechanism to judge user’s. Once found that the user has suspicious behaviors, we need to strengthen the prevention to further identify risks.

At present, AOFEX is effective for money laundering, and the result is also decisive and quick. It can be seen that the official towards this is intolerance.

As the largest application of blockchain technology,there is still a long way for digital currency exchange in compliance.

First,we can be sure that exchanges will be certainly under strict regulatory measures in the future, just like other businesses.

In fact,exchanges are also keen to be regulated. In this way, exchange will make clear which red lines are not touched, which are allowed areas and which areas can be tried.

If exchanges are compliance, it means that the legitimacy of exchange is recognized to a certain extent from legal level.As long as it complies with regulations, exchanges can operate properly and earn profits.

At present,there are different attitudes towards digital currency exchanges around the world, and there are also great differences in law. Some regions are very welcome, some regions adopt more conservative policies, but generally speaking, they are gradually accepting digital currency industry.

In the gradual improvement of laws and regulations, there is still a lack of areas to improve regulatory system. At present, it is more inclined to adopt international conventions for management.For example,International Financial Action Task Force on Money Laundering(FATF) has explicitly required all exchanges to cooperate in combating money laundering and tax evasion. Illegal acts such as terrorist financing are directly quoted by some countries and regions.

In the face of current situation, AOFEX has increased anti-money laundering (AWL) safeguard measures,established anti-money laundering team, cooperated with Slow Mist Technology,an expert in blockchain security, realized accurate analysis of KYC and large value transactions, and taken measures in asset security, anti-fraud, international anti-money laundering, anti-terrorist financing and other aspects, which can not only help exchange obtain more national and regional policy recognitions, but also It can protect users from losses caused by involvement and fulfill the responsibilities of exchange.

It will be hoped that in the future, all exchanges will fully protect users and build a safer and more stable environment for the development of blockchain industry.

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