Silvergate Bank, the provider of financial infrastructure solutions and services for the digital currency industry, has deepened KYC capabilities with Elliptic.
The partnership will see the integration of Elliptic’s cryptoasset risk management and blockchain analytics, into its platform to serve more virtual asset services providers (VASPs) and other crypto businesses.
This partnership will support Silvergate’s risk-based compliance framework through Elliptic Lens, which screens customers before opening accounts, and Elliptic Discovery, which assesses financial crime risk when engaging with digital currency exchanges.
Kate Fraher, COO of Silvergate, commented: “Most banks take a one-size-fits-all stance when it comes to crypto businesses deeming them too risky to bank. This is a narrow view as the digital currency industry continues to grow.
“Applying rigorous controls to risk-based KYC and due diligence is possible through the depth and accuracy of risk exposure data that Elliptic provides on crypto businesses.”
Since 2013, when it launched its digital currency initiative, Silvergate has accumulated more than 1,100 digital currency and fintech customers.
Simone Maini, CEO of Elliptic, added: “Silvergate Bank has always had the foresight to enable innovation in financial services, providing access to banking services for fast-growing fintech and crypto businesses that need capital and accounts to operate their businesses. Silvergate knows this is critical to the overall development and maturation of crypto as it mainstreams.
“Silvergate’s banking solutions are supported by a deep-rooted commitment and proprietary approach to regulatory compliance reinforced by Elliptic’s crypto risk data and insights. By having a way to assess a customer’s risk exposure to crypto, Silvergate can make risk-based decisions in line with its policies and controls so it can confidently onboard new crypto customers.”