ConsenSys Starts Compliance Service Focusing on DeFi

Published at: June 9, 2020

Ethereum co-founder Joseph Lubin’s firm ConsenSys is releasing a compliance service to keep an eye out on transactions conducted by DeFi companies and exchanges trading tokens issued on Ethereum.

According to a Bloomberg article published on June 8, decentralized applications development company ConsenSys announced it would release a service for decentralized finance (DeFi) projects and crypto exchanges to analyze trades for tokens issued on the Ethereum network.

ConsenSys’ service will be able to monitor user transactions of more than 280,000 coins issued on Ethereum, focusing on exchanges and DeFi companies.

“There are more and more people building decentralized apps that need this as a Lego piece,” ConsenSys’ Lex Sokolin said. “What we are trying to do is make activity on the decentralized financial infrastructure much more safe, transparent, much easier to trace.”

Only focusing on Ethereum-issued tokens

Notably, ConsenSys doesn’t seem to be entering the compliance market with tokens issued on the Bitcoin (BTC) blockchain, but just ones on Ethereum. Cointelegraph reported in April that Coinbase-backed Securitize was expanding its compliance services utilizing smart contracts on the Ethereum blockchain.

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