The post Kinto Migrates to Arbitrum, Bringing Compliance to DeFi appeared on BitcoinEthereumNews.com.

Kinto, a new Layer 2 scaling solution focused on regulatory compliance, announced its migration to the Arbitrum network today. After six months of operating on its own testnet, Kinto has chosen to leverage Arbitrum’s advanced rollup technology stack for its mainnet launch in Q1 2024. Keypoints Kinto is launching as a Layer 2 on the Arbitrum network after testing for 6 months on its own testnet Kinto focuses on regulatory compliance features like KYC/AML while still being decentralized Kinto chose to partner with Arbitrum due to its advanced rollup technology and maturity Kinto aims to bridge the gap between traditional finance and decentralized finance Kinto provides built-in insurance for smart contracts to reduce risk of exploits Kinto was built by DeFi veterans to accelerate the transition to an on-chain financial system while still catering to the strict compliance and regulatory requirements of traditional finance. The platform offers built-in KYC/AML checks to reduce the friction for institutions to participate in decentralized finance. At the same time, Kinto preserves the permissionless and decentralized ethos of Ethereum by remaining non-custodial and open source. The Kinto team conducted an extensive review of Layer 2 ecosystems before selecting Arbitrum as the best fit. Factors included Arbitrum’s market-leading technology, adoption and maturity as well as its ability to match the guarantees expected by traditional finance in terms of efficiency, availability and neutrality. After recent governance changes granted the Arbitrum Foundation more autonomy over Layer 2 partnerships, collaborative discussions between the two teams culminated in today’s migration announcement. For Arbitrum, Kinto represents another high-profile project addition that will drive further institutional adoption of Ethereum and its Layer 2 scaling solutions. Meanwhile, Kinto gains a robust, time-tested foundation to introduce its compliance rails and intuitive user experience to a wider DeFi audience. Through mandatory KYC and a “security…

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Filed under: News - @ November 22, 2023 9:22 am