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Alloy expands crypto capabilities

Alloy for crypto blog

We’re excited to announce Alloy’s identity and risk offering for crypto companies. We’ve been working with our existing crypto customers to build out a robust package of best practices and features. We’ve also deepened our coverage by forming data partnerships and integrations with crypto-native providers such as Chainalysis, Fiat Republic, and Fortress, making Alloy’s Identity Decisioning Platform even more powerful for crypto companies.

The why

The fraud and regulatory landscapes in crypto are continuously and rapidly evolving. Alloy is uniquely positioned to help crypto companies respond and future-proof their fraud, compliance, and risk operations. Our Identity Decisioning Platform connects companies to more than 170 data sources through a single API, allowing compliance and risk teams to quickly add data sources or make changes to their identity and risk workflows without their engineering teams' help.

Fraud is on the rise throughout the financial services industry, and the crypto sector is a hotspot for this fraudulent activity. According to the FTC, losses reported from crypto scams in 2021 were nearly sixty times what they were just three years prior. Meanwhile, Chainalysis reported that money laundered through crypto exchanges increased by 30% in 2021 compared to the previous year, at an estimated $8.6B.

It’s no coincidence that regulators are taking a closer look at crypto companies as a result. Over the past few years, regulatory bodies have increasingly included crypto companies within their scope, requiring many of them to comply with standard AML/KYC regulations. It’s more important than ever for crypto companies to have resilient and robust compliance controls, automated KYB/KYC, case management, ongoing monitoring, and SAR filing capabilities. Sound familiar? Alloy’s platform provides a single dashboard to manage all of these controls in one place.

The how

Since 2015, we’ve been powering identity and risk decisions for banks, credit unions, fintech companies, BaaS platforms, and neobanks. With the addition of crypto-native integrations, crypto businesses can use Alloy’s best-in-class platform to stay secure and compliant without compromising on innovation. Crypto companies will see the full benefits of Alloy’s Identity Decisioning Platform, including case management, SAR filing, AML screening, a codeless SDK for seamless integration, international coverage, and best practices for crypto onboarding.

Chainalysis is the leading blockchain analysis platform. Through our new Chainalysis integration, clients can effortlessly screen wallet addresses at user onboarding to evaluate risk levels associated with the wallet. Additionally, clients can rescreen addresses at any cadence and take action on source of funds information or exposure to categories including darknet markets, gambling, and more.

Fiat Republic offers “fiat-as-a-service,” granting its clients — who are traditionally underserved by banks — access to crypto-friendly banks through one API to streamline treasury, reconciliation, and payment flows. Through our new Fiat Republic partnership, Fiat Republic’s clients can automate compliance measures, transaction monitoring, and identity decisioning for their end users, ultimately unlocking better and faster fiat rails for crypto with reduced risk.

Fortress Trust provides a white-labeled infrastructure to launch NFTs and other crypto products, offering the fastest way for companies to enter the crypto market while staying compliant. Through our Fortress partnership, Fortress’s clients can securely onboard users into wallets and monitor ongoing activity. Alloy and Fortress focus on the technology behind the scenes so that clients can focus on the user experience.

The future

We are excited to better support onboarding and transaction monitoring for crypto companies through our exciting new data partnerships. We’ll continue to expand our ecosystem of crypto-native fraud, compliance, and risk solutions to keep up with the growing complexities of operating a crypto business. For information on how we can support your crypto company, please visit alloy.com/crypto.

Alloy provides a fraud and compliance toolkit for crypto companies

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