Chainlink has introduced its Automated Compliance Engine (ACE), a framework designed to reduce compliance costs and facilitate institutional entry into the cryptocurrency economy. ACE provides a scalable, privacy-preserving system for automating compliance checks.
This solution directly addresses the high compliance expenses identified in industry reports, such as those from LexisNexis and Forrester Consulting. By enabling automated and transparent compliance processes, ACE aims to significantly lower the barriers and costs associated with institutional participation.
Sergey Nazarov, Chainlink’s co-founder, emphasized the engine’s potential impact, stating it could unlock access to over $100 trillion in institutional capital by making compliance more efficient. ACE supports reusable digital identities and aligns with established standards like the verifiable LEI (vLEI), easing integration with existing financial platforms.
Development of the Automated Compliance Engine involved key industry partnerships. Chainlink collaborated with entities including Apex Group, the Global Legal Entity Identifier Foundation (GLEIF), and the ERC-3643 Association, highlighting a collaborative approach to solving industry-wide compliance challenges.