XRParrot, a platform developed to enable users to convert fiat into XRP at low fees and without the need for an exchange, announced the shutting down of its service. XRParrot’s official tweet read,
XRPCommunity: it's been great ? However, due to new regulations in The Netherlands (The home of XRParrot) the XRParrot service comes to an end. Accidental or automatic transfers to XRParrot will still be processed for some time (users will be informed). Thank you for everything!
— XRParrot.com (@XRParrot) January 16, 2020
XRP TipBot developer and Founder of Ripple-backed XRPL Labs, Wietse Wind revealed that the costs associated with registration, license, legal and operational were the reason behind the discontinuation of XRParrot. He stated,
“As I tried to keep the fees to an absolute minimum [and I don’t feel like overcharging], there’s no way I can make XRParrot work in the new, regulated playing field. I am pro-regulation, but the costs [registration/license, legal, operational] simply won’t be covered.”
Previously too, the developer had emphasized on the need for a service such as ‘Crypto Regulatory Compliance Company’ for small crypto companies, developers, startups, innovators, in an effort to not let laws across the world impede innovation in the space.
Wind had pitched the idea of a Crypto Regulatory Compliance as a service that could take care of KYC, AML, risk profiles, customer service, security, PEP checks, sanction list checks, possible identity theft and other procedures required to operate a “trustworthy, responsible, respectable crypto business”.
In a bid to build this venture, Wind revealed working with a team of great innovators, developers, and consultants to focus on providing the aforementioned tasks. Elaborating more on the company, the dev had earlier stated,
“We’ll allow devs, creators, innovators to build the future of payments, crypto, the internet of value and new generations of monetization. We’ll allow consumers to access connected crypto platforms/apps with their one account with our platform.”
