Star Xu, the founding father of OKX, emphasised the significance of compliance controls within the crypto business. Xu’s feedback come amid a rising deal with regulatory compliance inside the sector.
On July 17, 2023, Xu tweeted, “On the present business surroundings, all centralized swaps, exchanges, bridges with out totally compliance controls together with KYC, AML, and others will likely be excessive danger in each jurisdiction. Multicoin is the newest instance. Shield your crypto your self.” This assertion underscores the potential dangers related to platforms that lack sturdy compliance measures.
Editor’s Notice: It is believed that Xu supposed to reference ‘Multichain’ fairly than ‘Multicoin’ in his tweet.
On July 14, 2023, Multichain introduced the cessation of its operations because of the detention of its CEO Zhaojun and his sister by Chinese language authorities. The staff has misplaced contact with Zhaojun since Could 21, and his sister, who was managing day-to-day operations and preserving person property, was just lately taken into custody. The way forward for the preserved property is now unsure. This follows a current exploit the place an attacker drained $130 million from numerous token bridges.
In a follow-up tweet, Xu revealed that the OKX Centralized Change (CEX) staff has been proactive in establishing a worldwide commonplace compliance infrastructure. “OKX CEX staff begin to construct our compliance infrastructure on the world commonplace earlier than, maintain to construct,” he wrote. This means OKX’s dedication to adhering to regulatory requirements and offering a safe platform for its customers.
In one other tweet, Xu questioned the character of UniSat Pockets’s newly introduced brc20-swap. UniSat Pockets had earlier introduced the launch of “brc20-swap, the first-ever Ordinals native swap, floating on high of bitcoin mainnet, using brc20 protocol as its underlying asset infrastructure.” Xu responded to this announcement with a tweet asking, “Is it a centralized swap?” This question suggests Xu’s ongoing concern in regards to the compliance measures of recent Oridinals pockets.
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