Hodl Hodl has launched a peer-to-peer cryptocurrency exchange, which offers traders decentralized exchange functionality for Bitcoin and Litecoin, without KYC/AML.
The P2P cryptocurrency exchange, allows users to trade directly with each other, and without a middleman involved. Each time a contract is created between two parties, Hodl Hodl exchange generates a unique multisig escrow cryptocurrency address. The seller sends cryptocurrency from his wallet to this account, and when the cryptocurrency is locked in escrow, the buyer sends fiat to the seller. The seller then releases the locked cryptocurrency from escrow using his payment password, and the buyer receives it in his wallet.
“For now, we are opened in BETA-mode until July of 2018, which means a lot of new features are coming soon, with the main functionality of the exchange being ready and available for use now,” a blog post reads.
For the time being, Hodl Hodl has disabled contracts creation because it needs to ‘form a decent order book and be sure everything works flawlessly’. The company expects it to be enabled in a ‘week or so’.
The team said that there will be no exchange commission until July 2018 when the exchange plans to come out of beta mode, so 0% fees until then. Once the company has implement fees, there will be different exchange fee rates available at Hodl Hodl exchange. However, an exchange fee of 0.6% will be applied for every new registered user.
One of the key features to its decentralized platform is the P2P trades will waiver KYC/AML requirements according to the blog.
The Global RegTech report recently found that nearly half of all RegTech companies address AML or KYC regulation. The technology solutions offered by RegTech companies are directly related to regulatory issues or challenges faced by financial institutions.
Given the increasingly complex requirements placed by regulatory authorities on AML and KYC procedures, along with the heavy fines imposed for inadequate compliance, it is no surprise that a majority of RegTech solutions address these particular areas of legislation.
Copyright © 2018 RegTech Analyst
Copyright © 2018 RegTech Analyst
