Cryptobric: Implementation of CDD System and Changes to the Method of Compensating Scan Rewards

Greetings, from Cloudbric.

<CDD System Implementation>
With the introduction of the Travel Rule (a regulation for tracking virtual asset transfers) being scheduled to be in effect starting from March, major domestic (South Korean) VASPs (Virtual Asset Service Providers), such as Bithumb and Coinone, will be enforcing CDD (Customer Due Diligence). Which means that withdrawing from exchange platforms will only be possible to wallets connected to accounts that have been verified.

Cloudbric intends to implement a CDD system (customer verification system) to support the smooth use of Cryptobric’s wallets even after the Travel Rule is in effect.

The customer verification system applied to Cryptobric will be as follows, and only two of these verification methods will be required in order to be able to use Cryptobric’s wallet:

> KYC (Know Your Customer) verification / Mobile verification / Email verification

<Changes to the Method of Compensation for Scan Rewards>
With the implementation of the CDD System, the method of compensation for scans on Crypto-related apps will change.

AS-IS)
> Rewards for the entire month’s scan (once every week/maximum of four times a month) are compensated on the 15th (business day) of the following month.
> Compensated to all users at once by Cloudbric

TO-BE)
> Automated withdrawal of rewards through individual applications
※ The details and instructions to apply for automated withdrawals will be announced at a later date.
※ Due to these changes, scans done in February will not be compensated on March 15th, rather it will be compensated with the new automated withdrawal through individual applications.

*What is the Travel Rule?
The Travel Rule dictates that, in the case of exchanging virtual assets worth 1 million Korean Won or more, VASPs will be required to record and provide the senders’/receivers’ personally identifiable information (PII), and their transaction purposes to the financial authorities. It is a regulation or a kind of obligation imposed on VASPs in order to comply with AML (Anti-Money Laundering).

Korean VASPs must have a customer verification system that complies with the Travel Rule by March 25th in accordance with the OECD’s FATF (Financial Action Task Force) guidelines, and Korea’s Act on Reporting and Use of Certain Financial Transaction Information.

*Changes after the introduction of the Travel Rule
After the implementation of the Travel Rule, when trading virtual assets such as Bitcoin or Ethereum, exchange platforms will keep a record of the sender and receiver. To simply put it, it is the same concept as how one can identify who the sender and receiver is for your everyday bank wire transfers.

As of March 2022, after the Travel Rule is put into effect, exchange platforms must secure personally identifiable information of the wallet owner, and said information must be stored and shared among exchange platforms.

*KYC (Know Your Customer) verification
KYC, an abbreviation for Know Your Customer, can be simply interpreted as ‘customer verification’.

Through the KYC customer verification; financial institutions, exchange platforms, banks, and companies will be able to check their customers’ information and verify the identity of their customers in order to determine if they are trustworthy.

Customers must verify their identity in order to receive assurance, and will be able to trade in a secure environment.

Cryptobric is a personal digital asset management app with wallet functionalities such as; transferring KLAY and CLBK, and checking the total amount of KLAY and CLBK held. In addition to that, Cryptobric provides users with the Gift Shop menu, which allows users to purchase various gift coupons with the KLAY and CLBK tokens, from places such as Starbucks, convenience stores, bakeries, and cafes.

Furthermore, the Android version has a scan functionality which rewards CLBK for completing a scan on cryptocurrency-related apps.

> Cloudbric Labs : https://labs.cloudbric.com/cryptobric

> Download Link for the Android Version : https://play.google.com/store/apps/details?id=com.cloudbric.cryptobric

> Download Link for the iOS version: https://apps.apple.com/kr/app/cryptobric/id1582906682

Moving forward, Cloudbric will spare no effort to grow even more in the future.