Blockchain financial services provider Tempo has announced the integration of compliance management directly within its core network infrastructure. By incorporating these compliance mechanisms, the company aims to provide trusted solutions to regulated financial institutions and stablecoin issuers. This latest advancement aligns with Tempo’s commitment to complying with global regulatory standards, as seen in its proprietary blockchain technology, which debuted in 2023.
What is unique about Tempo’s compliance integration? How does Tempo ensure the security of assets and issuers?
What is unique about Tempo’s compliance integration?
Employing compliance checks embedded within the core network software distinguishes Tempo from peers that rely on separate institutional smart contracts. This strategic choice ensures uniform processes and clearly defined protocols for financial institutions. Tempo collaborates with leading compliance and risk management companies such as TRM Labs, Sardine, Blockaid, and Chaineries to enhance its services.
Tempo positions itself as a platform built for enterprise payments, providing stablecoin issuers and enterprises with optional compliance tools to address their regulatory needs. These new features are currently being actively used through partnerships with platforms such as TRM Labs, Blockaid, Chaineries, and Sardine.
How does Tempo ensure asset and issuer security?
At the heart of Tempo’s proposal is the TIP-20 token standard, which allows issuers to control token transfers in emergencies. Additionally, it provides a mechanism for authorities to remove tokens associated with blacklisted addresses, and the process is traceable through on-chain documentation.
The network has robust authentication protocols that enable decentralization of operational tasks and ensure transparent management. Tempo’s “Policies” module provides publishers with the ability to manage address transactions through customizable whitelists and blacklists. Future improvement plans include allowing wallet providers to impose account-based limits in accordance with their internal KYC and risk management strategies.
Institutions can attach reference notes that comply with financial compliance data standards such as IVMS101 and SWIFT formats directly within blockchain records within transactions. This approach supports joint compliance with legacy requirements and blockchain specifications.
Key highlights include:
- Integrated sanctions screening and user authentication tools.
- Functional wallet limits and emergency freeze feature.
- Comprehensive asset recovery and regulatory workflow integration.
Tempo’s “transaction” framework increases flexibility by allowing stablecoin network fees to be paid in-kind, providing clients with a more scalable and versatile payment structure.
Tempo powers its blockchain financial solutions with a focus on comprehensive compliance integration, promising greater transparency and operational efficiency in global digital finance.
