Flexibility with the OpenVASP Association's IVMS Validator
As regulatory requirements for VASPs continue to evolve, ensuring accurate and secure data exchange has become critical. Tools such as the IVMS Validator play a key role in helping VASPs to develop systems to comply with the Travel Rule.
Tools like the IVMS Validator make implementing such systems more efficient and interoperable for all participants. By ensuring standardised data formats, it aids the seamless communication between different Travel Rule solutions, even when messaging protocols and networks differ, as seen with TRP and TRUST.
What is TRUST?
Launched in February 2022, the Travel Rule Universal Solution Technology (TRUST) is a global compliance network jointly developed by a coalition of VASPs to help participants meet regulatory obligations while safeguarding customer privacy and data security.
By transmitting encrypted Travel Rule information directly between members, without centralised storage of personal data, TRUST minimises the risk of breaches or misuse. It also confirms that the recipient VASP controls the destination address before any data is shared, ensuring that information is exchanged securely, accurately, and only with the intended party.
What Is the IVMS Validator?
Firstly, IVMS 101 serves as the internationally recognised standard for Travel Rule data between VASPs. The OpenVASP Association’s IVMS Validator, developed by 21 Analytics, checks whether Travel Rule data is properly formatted according to the IVMS standard.
This free tool helps VASPs, protocol developers, and implementers adhere to a single standard for Travel Rule data, one that aligns with IVMS 101.
By following this standard, VASPs can communicate more efficiently while minimising any impact on the customer experience.
The IVMS Validator Checks Variations of IVMS 101
While IVMS 101 is widely implemented by leading Travel Rule solution providers and developers, not all of them do it exactly the same way. For example, TRUST and TRP have a few minuscule differences.
However, for the IVMS Validator, this is not an issue as it can interpret both variations of IVMS 101.
What the New IVMS Validator Looks Like
The IVMS Validator website with new support for TRUST.
How Does this Benefit Compliance?
With this tool, developers of VASPs and Travel Rule solution providers can verify whether their data aligns with the IVMS 101 standard, regardless of whether the variation is TRP or TRUST. This ensures that their solutions can correctly receive Travel Rule data.
How Does this Affect TRP and TRUST’s Relationship?
The OpenVASP Association’s goal is to develop open and permissionless standards and tools for VASPs. By extending the IVMS-Validator to allow for TRUST's variation of IVMS, the association makes it easier for VASPs and solution providers to provide interoperability between TRP and TRUST.