In light of the scrutiny around our announcement on February 25, we’d like to take a moment to more deeply clarify our position. While much of the response among those users who are closest to the team was positive, we also anticipated there would be questions and points in need of more attention.
The key information which needs the most visibility is that US users will need to supply verification of their identity (KYC) and all users will need to accept our terms of service before March 7, 2019 (UTC 0:00).
Until the grace period ends, all users are able to click away from notifications about the terms of service and verification and use their account normally. The local client should be updated to version 0.16.5 immediately. We will continue to work with Fractal to increase the level of transparency and information about their services and the way in which data is secured. We’ll also ensure users will only need to submit verification once despite having multiple CryptoBridge accounts.
We highly value the feedback we’ve received from the greater community and are making efforts to improve how clearly and widely it should be. Our work is incomplete until all users are fully informed.
We’ve put only the minimum possible requirements in place to reach our goal of meeting regulatory compliance. Their addition, however, opens the door to several advantages. Among the most notable of these is the simplification of our listing policies.
We now are able to add any manner of digital asset without restriction or complicated vetting/application process. Tokens (whether or not they be deemed securities by the SEC), projects funded by initial coin offerings and stablecoins are all now safely within reach. This advantage supports growing the liquidity and attractiveness of the assets available, and thus provides reinforcement of both CryptoBridge and those that stake BridgeCoin.
Secondly, we have eliminated the risks of punitive entities which enterprises similar to ours have been subjected to. We refuse to continue existing in uncertain and potentially destructive conditions. However, we will be quite pleased to remove them if the regulatory environment relaxes sufficiently and indicate they are no longer necessary.
Refocus on Gateways
When the project was launched, it was intended to proceed toward the implementation of the Federated Gateways without delay. In reality, however, the project grew rapidly and brought with it many challenges, some of which even threatened to end it. Through each adversity, a solution was found and while certainly delayed, we did not lose sight of the end game: decentralization of capital deposits. As difficult as some of the moments we’ve had were, our satisfaction still awaits.
The Federated Gateways are a only a proposed feature of BitShares at this time, but CryptoBridge will not be complete until these are proven as a functioning part of the ecosystem. We are but one gateway, but wish to beget the existence of many. To demonstrate our commitment to this goal, we will be releasing a new roadmap in the coming weeks to give a clearer indication on what a realistic timeline will look like.
Despite taking our pursuit of this difficult path, our overall focus remains unchanged. As we continue moving forward toward the design and construction of the Federated Gateways, we will maintain an open dialog with the community, our users and the projects traded on CryptoBridge. We appreciate the concerns and will work tirelessly to increase the clarity of and availability of all relevant aspects related to Fractal, account access and plans moving forward.