Glossary > Virtual asset service providers ( VASPs )
Virtual asset service providers or VASPs is a broad term that refers to companies providing services related to cryptocurrencies.
Virtual assets are digital representations of value that can be traded or transferred digitally and used for payment or investment purposes. Virtual assets do not include digital representations of fiat currencies, securities or other financial assets that have been identified elsewhere in the FATF guidelines.
According to the FATF’s definition, a VASP is a business that conducts one or more of the following activities:
More simply put, exchanges, peer-to-peer (P2P) exchanges, crypto ATMs, custodians, or OTC desks are VASPs for example.
Update all you need to know about cryptocurrencies and regulations with Scorechain!
Scorechain is a Risk-AML software provider for cryptocurrencies and digital assets. As a leader in crypto compliance, the Luxembourgish company has helped over 200 customers in 40 countries since 2015, ranging from cryptocurrency businesses to financial institutions with crypto trading, custody branch, digital assets, customers onboarding, audit and law firms, and some LEAs.
Scorechain solution supports Bitcoin analytics with Lightning Network detection, Ethereum analytics with all ERC20 tokens and stablecoins, Litecoin, Bitcoin Cash, Dash, XRP Ledger, Tezos, and Tron with TRC10 and TRC20 tokens. The software can de-anonymize the Blockchain data and connect with sanction lists to provide risk scoring on digital assets, transactions, addresses, and entities. The risk assessment methodology applied by Scorechain has been verified and can be fully customizable to fit all jurisdictions. 300+ risk-AML scenarios are provided to its customers with a wide range of risk indicators so businesses under the scope of the crypto regulation can report suspicious activity to authorities with enhanced due diligence.