The non-profit organization behind Cardano has partnered with the blockchain analytics provider, Coinfirm, to ensure ADA complies with Financial Action Task Force guidelines.
In an announcement on August 24, The Cardano Foundation said it would use Coinfirm’s services to provide anti-money laundering, or AML, and anti-terrorist financing, or CFT, analysis for Cardano’s native cryptocurrency, ADA. According to the foundation, the integration will allow the project to be “in full compliance” with the guidelines established by the International Financial Action Group, the Sixth Directive against Money Laundering of the European Union, or 6AMLD, and other regulations applicable to Cardano.
“AML / CFT analysis is essential for a cryptocurrency to receive mass adoption within regulated markets,” said the head of technical integrations at the Cardano Foundation, Mel McCann. “The tools and services provided by Coinfirm allow each exchange, custodian, and all other third parties to clearly track the ADA history they have in their wallets. “
Coinfirm said it would be able to provide the same AML / CFT analysis for the assets minted in Cardano, a number that may grow as the project is preparing to expand to smart contracts. The news of the integration comes when the blockchain company, dcSpark ad who would build his Milkomeda sidechain, connecting the Cardano blockchain with Ethereum.
The ADA token price has risen significantly in the last month, reaching an all-time high of $ 2.92 on August 22. As the Cointelegraph Markets Pro data shows, the token currently has a market capitalization of over USD 88 billion, making it the third largest cryptocurrency by market capitalization, surpassing Binance Coin.