Exciting news! Our parent company, CoolBitX, has successfully secured $16.75 million in a Series B funding round. The funding will help provide FATF-compliant solutions to virtual asset service providers (VASPs) around the world through their service, Sygna.
The funding round, led by Japan’s financial group SBI Holdings, will help expand Sygna beyond the Asia-Pacific (APAC) region. In addition to SBI Holdings, other participants include the National Development Fund of Taiwan, BitSonic and Monex.
In a press conference held at the beginning of the week, Michael Ou, CEO of CoolBitX, said:
“We are thrilled and encouraged by the support that we have received from our wider community of investors and partners on our journey. The blockchain and cryptocurrency industry is at a critical juncture. In the global blockchain race, the rate of adoption and innovation in Asia is undeniable…
Jurisdictions that have passed bills defining a clear set of rules for the industry — especially those surrounding KYC and AML — have seen major players in traditional finance enter the space, providing a clear blueprint for regulators around the world.
Through Sygna and CoolWallet S, we’re proud to develop the tools and infrastructure necessary to bridge the gap between the mainstream market and crypto industry. This latest funding round is a testament to our vision to help the industry mature and foster the mass adoption of virtual assets.”
The press conference, held at the new headquarters of CoolBitX in Taipei, Taiwan, had many guests in attendance. Leaders from blockchain and mainstream communities gathered to discuss how CoolBitX will play an essential role in bridging that gap.
The Travel Rule
In June 2019, the Financial Action Task Force (FATF) released its latest standards for combating money laundering and terrorist financing. This requires member countries to ensure that virtual asset service providers (VASPs), mainly crypto exchanges, comply with Recommendation 16, or the “Travel Rule”.
The rule requires VASPs to implement KYC throughout all transactions and collect identifiable user information. In October 2019, Sygna Bridge introduced a network alliance to provide VASPs with a simple and cost-effective solution to comply with the Travel Rule.
More than 10 exchanges in Japan, Korea, and Taiwan have signed Memorandums of Understandings (MOUs) with CoolBitX, joining a consortium of VASPs to begin or consider implementing Sygna Bridge. Currently, the consortium, named the Sygna Alliance, includes SBI VC Trade (JP), Coincheck (JP), Bitbank (JP), DMM Bitcoin (JP), BITpoint (JP), BitSonic (KR), MaiCoin (TW), BitoPro (TW), Ace (TW), and other exchanges throughout the APAC region, some of which have begun implementing or testing Sygna Bridge within their own infrastructures.
Bringing Crypto into the Mainstream
CoolBitX defines itself in building the infrastructure necessary to bring cryptocurrency into the mainstream. Together with their revolutionary Bluetooth hardware wallet, CoolWallet S, CoolBitX strives to promote the mass adoption of crypto into the mainstream.
Yoshitaka Kitao, President and CEO of SBI Holdings, Inc., had this to say:
“As one of the early investors in CoolBitX, SBI Holdings is happy to see the breakthroughs made by the CoolBitX team to drive cryptocurrency adoption forward. As such, we are delighted to participate in our second tranche of investment in CoolBitX. The borderless nature of digital assets requires a solution that isn’t bound by geographical boundaries. We are proud to partner with CoolBitX on their journey to bring a secure and easy-to-implement system to the world.”
It is with this kind of support from industry leaders that CoolBitX can continue to provide secure and innovative solutions to the blockchain community. We’re excited by the journey ahead and emboldened with the new (and original) investors and partners in our corner. For exchanges looking to learn more about Sygna, please visit sygna.io or contact [email protected]