VerifyVASP is a recently created Singapore-based decentralized Travel Rule messaging protocol created by South Korean cryptocurrency exchange Upbit. This article covers factors to consider when choosing VerifyVASP as a Travel Rule messaging protocol.
How does VerifyVASP work?
VerifyVASP’s System Architecture
VerifyVASPs’ architecture is based upon a decentralized protocol that facilitates information sharing between VASPs, immediately and securely, via API communication while utilizing a robust encryption algorithm to secure data in transmission. The protocol mitigates risk associated with the sharing and transmitting of personal data while supporting the transfer of various types of digital assets on its decentralized architecture.
Is VerifyVASP an open-sourced industry alliance network, a closed network, or a commercial solution?
VerifyVASP is a closed network Travel Rule messaging protocol.
Is VerifyVASP a fully integrated Travel Rule solution provider?
VerifyVASP is a decentralized protocol for secure and immediate data sharing amongst VASPs. Companies will still need to partner with a fully integrated Travel Rule solution provider or build additional components to integrate VerifyVASP.
What is the integration effort?
With a simple API integration, VerifyVASP has a low and manageable integration effort.
Is VerifyVASP interoperable with various protocols and Travel Rule solutions?
VerifyVASP adopts the InterVASP Messaging Standard (IVMS101) data format, which helps pave the way for future interoperability with other solution providers.
What is VerifyVASP’s governance model?
VerifyVASP’s governance model is centralized, comprising only Upbit.
Is VerifyVASP live?
VerifyVASP is live.
Does VerifyVASP support non-custodial wallets?
VerifyVASP does not support transactions between non-custodial wallets.
What is the level of industry support for VerifyVASP?
VerifyVASP is a new protocol in its early days, yet there seems to be interest from Korean VASPs to support it.
What is VerifyVASP’s membership fee structure?
Companies may become alliance members at no cost.
Does Notabene support VerifyVASP?
Notabene is looking to add support for VerifyVASP in Q4 2021.
What are the benefits of using VerifyVASP?
- Simple API integration
- Send Travel rule transactions to South Korea’s major exchanges
What are the drawbacks of using VerifyVASP?
- Access to a limited number of counterparties
For many companies, it is not enough to just integrate VerifyVASP, as they will likely have counterparties outside of the group of VerifyVASP supporters.
Has there been a test net using VerifyVASP?
There has not been a testnet using VerifyVASP. However, VerifyVASP does have a sandbox for VASPs to test the protocol.
What are the steps to implementing VerifyVASP?
- Sign up as a VerifyVASP Alliance Member
- Self-issue API-keys; namely accessKey and secretKey required to run the enclave server
- Create a local database
- Implement Verify User API
- Install and run enclave server
Notabene will be able to assist VASPs with each implementation step.
Verify VASP for Developers
VerifyVASP Alliance Members are invited to connect to the Value Transfer Protocol Solution via API connectivity. Each Alliance Member is required to integrate with VerifyVASP’s servers by downloading a Docker image and using it to host their enclave server in their own environment.
The API key allows interaction between the enclave server hosted by the individual Alliance Member and VerifyVASP’s Central API Server. Each Alliance Member must implement the User Validation API to access VerifyVASP’s enclave server hosted in their environment.