Last Updated on Tuesday, 13 August, 2019 at 10:59 am by Christian Keszthelyi
A foolproof regulatory framework that protects the users is essential to prevent scams related to emerging blockchain and cryptocurrency investments, says Bryan Ng, Co-founder and CEO of digital asset exchange Nauticus, according to a press statement.
“Poor regulation enables corruption to flourish,” the Nauticus chief says, directing special attention to Pyramid and Ponzi schemes. “Unregulated exchanges are often hacked or shut down without returning the funds of users,” the chief warns.
Nauticus, however, mentions in its press statement that a handful of countries, including Switzerland, Malta and Australia, have embraced “well-designed regulations” for encouraging innovation while also protecting users.
“Verifying every user helps to fight corruption and criminality, and not only protects the business but protects our users themselves from fraudulent practices,” says Jonathan Chang, Chief Operating Officer of Nauticus, underscoring the gravity of know-your-customer (KYC) protocols.
Melbourne’s Nauticus Exchange is a digital financial marketplace offering 17 currencies and the Australian dollar. Nauticus is registered with the Australian Government’s AUSTRAC as a Digital Currency Exchange and an Independent Remittance Dealer. Headquartered in Melbourne, the company is a registered representative of an Australian Financial Services Licensee enabling it to tokenise assets in the form of security token offerings.