As the third quarter of 2023 moves past us and the regulatory landscape continually evolves. Norbloc remains committed to arming you with the latest news, best practices, and innovative solutions to help you navigate compliance with confidence.
💡Industry news worth reading…
Anti-money laundering fines surge globally
In the US, The Federal Reserve has recently fined a major, international bank $186 million for failing to sufficiently address money laundering control problems, calling upon it to now prioritize improving its risk and data management.
Furthermore, in the United Arab Emirates, the financial penalty of $486,000 has just been imposed by Abu Dhabi Global Market (ADGM) on a licensed money service provider due to inadequate compliance with AML requirements.
Similarly, the Singapore Central Bank imposed fines across four international financial entities, collectively amounting to $2.83 million for inadequate controls for AML and CTF, with the Monetary Authority of Singapore highlighting several shortcomings relating to the corporate accounts under question.
The financial entities had failed to:
- understand the control structure for the corporate accounts under question, and properly identify the UBOs,
- update customer risk ratings and adequately establish the source of wealth for high risk customers, and
- adequately inquire into the background and purpose of “unusually large transactions”.
The challenges of Know-Your-Business (KYB) for legal entities persist
Switzerland has recently drafted new, more stringent AML rules aimed at reinforcing the integrity and competitiveness of Switzerland as a financial hub, while shedding light on beneficiaries and ownership of companies by creating a central registry in which legal ownership would be recorded.
If the new legislation is to be implemented, Switzerland will be imposing the highest AML standard in Europe. This will mean that:
- due diligence rules and reporting obligations will expand their reach to encompass accountants, lawyers and other company consultants who set up trusts, holding companies, or arrange real estate deals,
- legal entities will be obliged to register their UBOs in the central registry managed by the Federal Department of Justice and Police, with an audit unit mandated to oversee the quality of the register, and
- additional measures will be implemented imposing AML due diligence for all cash payments in real estate transactions and reducing the threshold for cash payments in precious metals trading.
The bill consultation will be concluded on 29th November 2023, with the Federal Council set to present it to Parliament in 2024.
Europe is coming closer to implementing a European Digital Identity (eID)
The Council and European Parliament have struck a deal to ensure secure, trusted, and seamless access to cross-border public and private services in the EU via electronic identification by means of a personal digital wallet on a mobile phone.
The adoption of eIDs across Europe would mean that…
- the wallet would be an eID means in its own right issued under national schemes,
- users would be able to rely on an improved ecosystem for electronic identity and trust services, with common standards for security and technical architecture, recognised and accepted everywhere in the EU,
- natural persons would also be able to use e-signatures, free of charge, via their personal wallet, and
- in line with the GDPR, users would have power over their personal data and the ability to limit the sharing of #identity data to what is strictly necessary for the provision of a service.
The idea is that by introducing the eID, “at least 80% of EU citizens should be able to use a digital ID solution to access key public services by 2030.”– Erik Slottner, Swedish minister for public administration
📌 In case you missed it…
Earlier this summer, Deloitte published the RegTech Universe 2023 Report, highlighting the forefront of RegTech companies across the globe which are pioneering in the sector, delivering value to businesses across regulatory reporting, risk management, identity management and control, compliance and transaction monitoring.
We are thrilled to announce that norbloc has been singled out as one of the most groundbreaking companies in the category of Identity Management & Control for offering digital compliance modules that cover the whole Know-Your-Customer lifespan.
From data collection, management, validation and review via norbloc’s digital onboarding platform Sancus, to data sharing and monetization via the blockchain-based Atlas and Fides platforms. Norbloc’s platforms allow auditable sharing of validated KYC data at the request of the customer, enforcing one version of truth across an ecosystem.
🔗Find us on pages 48-49 to learn more about norbloc’s cutting-edge solutions.
norbloc has been selected to participate in the European GovTech Connect Boot Camp with a focus on Digitising Public Services for Enhanced Civic Engagement, Accessibility, and Transparency, powered by the European Commission.
As part of the program, norbloc, along with 16 other startups, will be exploring cost-effective and flexible digital solutions to address key public sector challenges that are faced not only across Europe, but globally, in pursuit of:
💡 Transparent & Open Government
✨ Inclusive & Accessible Services
🤝 Community Engagement & Collaboration
The solutions put forward range from sustainable solutions for smart cities, to technology for urban planning and digital tools for citizenship education, and much more. We are excited to present our Fides solution for citizen-centric data sharing that will promote strengthened data protection and compliance, by reducing the bureaucracy involved in onboarding processes and improving data quality.
Join us in Madrid or online for Pitch Day on October 20th! Register now.
🔎 Look out for us!
Moving into Q4, we’re happy to share with you our itinerary for #events across the globe. Take a look:
- The 4th NextGen Payments & RegTech Forum in Athens on October 5th-6th, organized by QUBE Corporate Events
- Greeking Out in London on October 6th, organized by Endeavor Greece and The Hellenic Initiative
- The GovTech Connect Pitch Day in Madrid on October 20th
- The 7th MENA RegTech in Abu Dhabi on November 15th
- SLUSH in Helsinki from 29th November to December 2nd
If you’ll be attending any of these events, or would just like to #connect, send us a message!
Careers at norbloc
We’re looking for the next additions to our team, could it be you?
- DevOps Software Engineer (Athens, Greece or remote)
📩 Join us as we work to revolutionize secure data sharing!