INK Astra Protocol Partnership Announcement

Ink Finance
4 min readOct 24, 2022

When assessing the DeFi landscape of crypto, one can’t help but notice that proper regulatory compliance is lacking across the board. If DeFi is to embrace corp finance and organized asset management in a safe framework, the foundational requirements of KYB and KYC diligence procedures widely adopted in the traditional financial sector are unavoidable.

We’ve seen how the lack of guard rails has caused crypto downturns rife with disruption. The recent spectacular collapse of those semi-centralized crypto financing platforms has caused tremendous loss to unsuspicious investors, all under the banner of “DeFi investment”. Ink Finance believes it to be vital for any financially minded organizations running on Web3 infrastructures to adopt prudent and rigorous due diligence procedures.

It is obvious that unless we the financial tool builders are serious about compliance, we will not effectively service professional asset managers and financiers moving on-chain. Ink Finance strives to integrate regulatory measures into the governance framework used by its DAO users, ensuring proper safeguards and good practices. The free-wheeling hyper DeFi of the crypto wild west has harmed the Web3 industry and has nearly run its course. Tightened regulatory oversights are inevitable, while DeFi develops into maturity.

The Ink Finance’s founding team, led by CEO Tony Tang, a Wall Street veteran, and fintech venture investor, understood this issue from the beginning and has championed the cornerstone idea of composable on-chain compliance solutions to adapt to the dynamic financial regulations, a factor that sets INK apart from other DAO tool builders.

This is why we are extremely excited to introduce our strategic partner Astra Protocol, a Decentralized Compliance Layer for the Web3 Economy. Astra Protocol is a proper regulatory compliance platform that can support sustainable growth of Web3 financial institutions, allowing user protection and helping in the prevention of illicit activities.

Ink Finance deems Astra’s solution as a critical component in regulated DeFi, and is convinced that their technology will play a key role in financial institutions’ adoption of Web3.

Astra helps DAO managers alleviate the regulatory hurdles in cultivating growth via finance. They can do so by removing risks such as those involved in illicit finance or ponzi players by establishing an operational framework with integrity. This makes it easier for traditional financial institutions to transition into Web3, and for crypto-born financial communities to exercise regulatory prudence so that they can adapt and evolve. With Astra as a partner, Ink Finance will be properly equipped to service the next wave of Web3 financing that is regulation ready.

Here are some of the critical benefits Astra Protocol brings to Ink Finance:

  1. Fund Integrity: Astra provides an integrated first-of-its-kind legal layer into DAOs that issue and manage investment funds.
  2. Compliance Adaptability: Astra provides DAOs with globally patented tools needed to strictly comply with financial and data protection regulations across various jurisdictions. Each DAO will have its own set of smart contracts tuned to run under a different regulatory environment.
  3. Manager Validation: ensures that every critical role performing a DAO management task is on good standing, reputation wise and professionally.
  4. Member Validation: Astra’s KYC (Know Your Client) ensures DAO members are validated prior to participating in financial activities.
  5. Dispute Resolutions: Astra’s powerful on-chain dispute resolution platform brings security, guardrails, and legitimacy to DAOs running on INK.
  6. Impartial Risk Assessment: Astra leverages its massive legal network ecosystem of audit and legal firms from around the world to improve fairness and transparency with its multi-validators approach. This creates a decentralized mechanism providing impartial risk evaluation profiles for each wallet in a DAO running on the INK platform.
  7. AML Protection: Astra Protocol prevents white washing unlawfully obtained cryptocurrencies, protecting DAOs from being exploited by illicit finance. Combining AML (Anti Money Laundering) and KYC mitigates risks and promotes confidence in the INK governance framework.
  8. Immutable Trustworthiness: Astra validates informational trustworthiness by documenting it all on-chain.

All these benefits are offered via Astra’s patented technology, giving the DAOs running on the INK platform an integrity advantage over those running on other platforms.

As a partner, Ink Finance cheers on and supports Astra in their efforts to improve the DeFi sector’s ability to comply with regulations and maximize investor protection. We are thrilled to add these effective and efficient solutions to our financial management stack. Ink Finance and Astra Protocol will march together toward the mutually shared goal — making Web3 finance safe for all.

About Ink Finance

A gold standard of financial DAO governance, a back and middle office SaaS built on blockchains, with the most comprehensive fiscal and risk management tools to enable the on-chain issuance, settlement, and clearance of bespoke financial products. It aims to make every asset-rich organization its own corporate banker, and every investment community its own asset manager, thereby contributing to the grand transformation of the finance regime of the Web2 era to the Web3 era.

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