Cashaa formed a pre-compliance team to increase the bank account opening acceptance rate for crypto companies

Crypto-related businesses are always underserved by banks all over the world. Small countries with relaxed regulations like Malta, Cyprus, etc. might be seen as a friendly destination, but on the ground, the reality is the same and the risk of banking is much higher due to weak administration.

Cashaa’s mission is to provide a secure and stable banking experience for the crypto community and any other business that has been underserved by traditional banks. In May 2019, we launched our crypto-friendly business accounts with one of the most prestigious regulators in the world providing hope to the entire crypto community. Also, UK banks do not feel comfortable with crypto companies recently resulting in the end of Coinbase’s relationship with Barclays. After Barclays, Coinbase is now looking to work with ClearBank which is the fifth-largest clearing bank in the UK. You might not know ClearBank as it does not service retail clients like Barclays, HSBC, etc.

Accounts opened through Cashaa are already linked with ClearBank’s robust systems with a higher account limit up to 1 Billion GBP. One of the important distinctions in the account opened through Cashaa is the UK current account is on the customer’s name which is not a virtual IBAN account. Each account has its own account number, sort code, and GB IBAN with the swift code ENUMGB21 with instant transfers through FPS, BACS, CHAPS, and SWIFT. To receive international wires, our users can also use CLRBGB22 which is the SWIFT code of ClearBank.

In the last 3 months, over 600 crypto companies have registered with Cashaa and we are overwhelmed with the trust crypto companies have shown in us, but in many cases, the regulated banking compliance team has rejected the application due to many issues in the application. In more than 63% of cases, we observed the applications given by the crypto companies are not filled properly, have outdated or no strong AML policy or founders are unaware of the risks associated with crypto.

We know it’s not possible for crypto companies especially start-ups to have similar resources like Coinbase, that’s why at Cashaa we have formed an intermediary compliance team which will first vet your application with similar standards and share its findings with relationship managers to help our customers learn and fix the issues before sending it to the FCA regulated FI compliance team. Our pre-compliance team will also do random checks once the account is operational to make sure founders are following the policies. This step does not guarantee opening an account but we believe that the acceptance rate will increase significantly and we will have responsible crypto companies in the space.

Our banking compliance team has approved BTC, LTC, ETH, ETC, XRP, XLM, BNB, and CAS. Any business dealing with the following crypto is welcomed for banking. Our team is constantly reviewing more crypto and is in touch with other foundations to understand their crypto to add into our banking system. Privacy coins like Monero, ZCASH are already rejected and any company dealing with privacy coins will not be entertained by Cashaa.

How applications through Cashaa will flow:

Step 1: Companies will apply online with basic documents and pay the due diligence fee.

Step 2: Founders will be assigned a relationship manager who will help them to complete the documentation.

Step 3: Once the documents are filled to a satisfactory level, they are sent to a Cashaa pre-compliance team for evaluation.

Step 4: If the application is approved by the pre-compliance team it is sent for the regulated compliance team.

Step 5: Compliance team does the EDD and gives the approval on the account opening.

Step 6: The operational team will open the account and provide the credentials to the relationship managers.

Step 7: Relationship manager will provide the access code to use internet banking.

The good news is all the applications rejected by Cashaa will again go through the new process without any additional cost, it’s all on Cashaa for showing your trust in us. All we will need is your time and attention to provide the documentation until we finally get your banking to the same standard as Coinbase at a fraction of the cost.