2.3.3 – Unique Selling Points
In the dynamic realms of traditional crowdfunding and RWA tokenisation, TRRUE recognizes the presence of formidable competitors. To secure a distinct niche in the market, TRRUE is committed to not just monitoring general market trends and competitor advancements but also innovating beyond them. Our strategy hinges on leveraging our technological prowess and strategic partnerships. Our unique selling points, such as an enhanced user experience, pioneering on-chain ESG reporting, and superior regulatory compliance features, are designed to distinctly position TRRUE in these competitive markets.
Regulatory Alignment and Licensing:
As outlined in Section 2.2, a significant step in TRRUE’s journey is the active preparation to submit an application for a crowdfunding service provider license in 2024. This authorisation, once granted, will permit TRRUE to conduct crowdfunding business throughout the European Union (EU) and European Economic Area (EEA), significantly distinguishing TRRUE in the marketplace by enabling the provision of superior and compliant services.
It is essential to note that the application for the crowdfunding service provider license is subject to a detailed regulatory review and approval process. The timeframe from application submission to potential approval varies, and TRRUE cannot assure a definitive timeline for this process. In scenarios where the application to the preferred regulatory authority, namely the Central Bank of Ireland, may face challenges or extended timelines, TRRUE is dedicated to exploring alternative compliant pathways to deliver high-quality services.
Clarification on TRRUE Coin and VASP Registration:
It is important to clarify that the ‘TRRUE Coin’ is primarily a utility token and not directly related to our crowdfunding plans. The discussions here focus on TRRUE’s strategic initiatives in crowdfunding and regulatory compliance, not on the specifics of the TRRUE Coin’s utility functions.
TRRUE’s Virtual Asset Service Provider (VASP) registration in Italy signifies a significant milestone in our compliance journey, reflecting our dedication to operating within the stringent regulatory frameworks of the European Union. This registration, mandated by the European Union’s Fifth Anti-Money Laundering Directive (‘5AMLD’), embodies TRRUE’s proactive approach to adhering to Anti-Money Laundering (AML) and Countering the Financing of Terrorism (CFT) standards, thereby ensuring the integrity and security of our operations in the virtual asset space.
Compliance with 5AMLD: TRRUE’s VASP registration aligns with the requirements of 5AMLD, which extends AML/CFT obligations to providers of services related to virtual assets. By complying with these directives, TRRUE ensures that its operations are transparent, accountable, and resistant to illicit financial activities.
Services Under VASP: The full 5 point registration encompasses a comprehensive range of services associated with virtual assets, which for the purposes of planned activity include:
Exchange Services: Facilitating the exchange between virtual assets and fiat currencies, as well as the exchange between different forms of virtual assets.
Transfer Services: Conducting transactions on behalf of our users that move virtual assets from one address or account to another, ensuring security and efficiency in asset transfer.
Custodian Wallet Services: Providing secure custodian wallet services for the management and storage of virtual assets, reinforcing the safeguarding of our users’ assets.
Participation in Financial Services: Offering services related to the issuance, offer, or sale of virtual assets, ensuring compliance with regulatory standards at every stage.
Stringent AML/CFT Measures: In adherence to 5AMLD, TRRUE has implemented robust AML/CFT measures, including:
Customer Due Diligence (CDD): Conducting thorough identity verification and background checks to understand and mitigate potential risks associated with each customer.
Transaction Monitoring: Implementing systems to monitor transactions continuously, identifying and reporting suspicious activities to prevent money laundering and terrorism financing.
Record Keeping: Maintaining comprehensive records of transactions and customer information, ensuring transparency and accountability.
Regulatory Reporting and Cooperation: TRRUE is committed to full cooperation with regulatory bodies, providing timely and accurate reporting as required under 5AMLD. Our engagement with regulatory authorities ensures that we remain at the forefront of compliance and best practices in the rapidly evolving virtual asset landscape. By securing the VASP registration, TRRUE reaffirms its commitment to upholding the highest standards of regulatory compliance, fostering trust and confidence among users, partners, and regulatory bodies. This proactive stance in regulatory adherence not only fortifies our operations against financial crimes but also positions TRRUE as a responsible and forward-thinking participant in the globalinternational digital asset industry.
1. Enhanced Trust and Credibility
Consumer Confidence: By operating as a regulated crowdfunding service provider, TRRUE stands to gain enhanced trust from investors and project owners. This regulatory status will both demonstrate TRRUE’s commitment to and as a regulatory compliance matter require adherence to principles of legality, stability, and transparency.
Institutional Appeal: Regulatory compliance makes TRRUE more appealing to institutional investors, who are often constrained by their own compliance requirements to engage only with regulated platforms
2. Access to a Wider Investor Base
International Reach: As mentioned above, the TRRUE preference as of the date of this White Paper is to seek authorisation as a regulated crowdfunding service provider before the Central Bank of Ireland (“CBI”). CBI would post authorisation be the Trrue supervisory authority. CBI’s reputation as a rigorous financial regulator will, we believe, opens doors for TRRUE to access a wider investor base. This is particularly relevant in the EU/EEA, where cross-border financial activities are common.
Investor Protection: The crowdfunding regulatory framework provides a layer of protection to investors, encouraging participation from those who might otherwise be hesitant about investing in tokenised assets.
3. Compliance with Evolving Regulations
Adaptability: The regulatory landscape for blockchain and crowdfunding is continually evolving. Being a CBI-regulated business will demonstrate TRRUE’s ability to adapt to regulatory changes while providing a sustainable and futureproof platform for Users and Clients.
Preparedness for Regulatory Shifts: By aligning with current regulatory standards, TrTRRUE is better prepared to navigate future changes in the regulatory environment, thus reducing risks associated with compliance breaches.
4. Higher Standards of Operation
Risk Management: Regulatory oversight necessitates stringent risk management protocols, enhancing the overall security and reliability of the platform and the wider business.
Operational Excellence: Compliance with license obligations requires robust internal operational processes, from customer due diligence to financial reporting. These measures help to ensure operational excellence and give TRRUE a competitive advantage over businesses with lighter regulatory requirements.
5. Market Leadership and Influence
Setting Industry Standards: TRRUE has the opportunity to lead and influence the standards in the blockchain-based crowdfunding sector, particularly in regard to ethical practices and investor protection.
Advocacy and Thought Leadership: TRRUE can advocate for favourable industry changes and participate in regulatory policy dialogues shaping the future of blockchain finance and crowdfunding.
Last updated
