Polkastarter Partners With Shyft Network To Launch a Global Whitelisting Solution For Token Swaps and Enable Compliant Liquidity Pools
Polkastarter is partnering with Shyft Network, a blockchain public protocol that allows encrypted, attested and secure data transfers while enabling anyone to develop applications and infrastructure for global citizenship, trusted data and regulatory-compliant privacy, to provide an end-to-end global whitelisting solution for all pool creators, and to provide new opt-in compliance primitives for institutional capital formation and compliant defi offers. With this integration, Polkastarter provides every pool creator the option of activating a mandatory and fully compliant KYC process.
At Polkastarter, we are committed to bringing fair and secure token sales and swaps in a decentralised, permissionless network. One of our biggest use cases is providing new projects and startups a platform to raise funds in a decentralized environment. But in some cases, these projects will want to whitelist and KYC users.
Although Polkastarter makes no warranty as to the merit, legality or juridical nature of any token sale on top of Polkastarter, we nonetheless understand the need of some token projects to require KYC on their token sale participants.
Feature Rich Set of Tools
Our job is to provide a neutral but feature rich set of tools that allow projects to securely raise funds in a decentralised manner. To be clear, integration with Shyft Network will not force KYC on any user. We will simply integrate Shyft in order to allow for address whitelisting and make KYC a optional feature on regulatory-compliant token sales and liquidity pools, should the token issuer and seller wish to do so.
The legality of requiring the use of such a feature is outside the scope of this post, and outside the purview of Polkastarter, as software developer: just like Ethereum / Polkadot and their core developers have no liability and make no warranties as to the merits of any token sale performed on their networks.
Daniel Stockhaus, Polkastarter CEO says, “It is very important to give the right tools to projects who want to use Polkastarter to raise funds in a legally compliant way. Adding an optional KYC feature, powered by Shyft Network, is key to guaranteeing that projects can raise money in a legal and sustainable manner.”
Shyft Network’s framework allows for encrypted, attested, and secure data transfers between those who own data (Data Owners), those who hold data (Data Custodians, or Trust Anchors), and those who request data (Data Consumers). The goal is to minimize entities that have custody over user data by providing an attestation framework that enables data validation and presents optionality around data availability and sharing. Through these validations, other robust compliance features can be added, e.g., global whitelisting, KYC auditability and Trust Anchor discoverability.
Juan Aja Aguinaco, Shyft Network Co-Founder, said “institutional capital formation will seek out projects with strong compliance primitives; by integrating with Shyft Network, Polkastarter can offer DeFi offers the option to participate in this new stage of crypto adoption. Legal requirements are here to stay and we believe there’s a massive opportunity for compliant DeFi.”
We expect that this integration will be fully ready by early 2021.
Polkastarter is a permissionless DEX built for cross-chain token pools and auctions, enabling projects to raise capital on a decentralized and interoperable environment based on Polkadot.
With Polkastarter, decentralized projects will be able to raise and exchange capital cheap and fast. Users will be able to participate in a secure and compliant environment and to use assets that go way beyond the current ERC20 standard.
About Shyft Network
Shyft Network is a public protocol designed to aggregate and embed trust, validation and discoverability into data stored on public and private ecosystems, and facilitate information transfer between permissioned and permissionless networks. By incentivizing individuals and enterprises to work together, Shyft Network allows for the layering of context on top of data, turning raw data into meaningful information. To learn more, visit www.shyft.network.