In an increasingly digitalized world, virtual assets have gained a fundamental role in the global economy. To manage, exchange, and store these assets safely, it is crucial to have a trusted and regulated virtual asset service provider (VASP).
Choosing the right provider not only ensures the security of funds, but also influences user experience, accessibility to different markets, and compliance with legal regulations. Below, we share some tips for choosing a virtual asset service provider.
Evaluate services offered
When choosing a virtual asset service provider, it is advisable to evaluate whether it is necessary to have this type of service, in addition to knowing its different benefits and complementary services, since this will allow us to know which providers best suit our needs. Among the most prominent virtual asset services and complementary services, there are payment processors, Exchange, custody, digital wallets (Wallet), among others.
Experience and reputation
When choosing a virtual asset service provider, it is advisable to evaluate the experience and reputation of each candidate since, this way, you will be able to know if the provider has the ability to offer quality service and if you will be able to resolve any type of problem or inconvenience that may arise. This evaluation can be carried out by reviewing reviews, user testimonials, and opinions of “impartial” experts on the subject; for example, we cannot take as “serious” an opinion of an influencer sponsored by a provider, since said opinion will not be 100% impartial.
It is important to verify that this information comes from real people and legally established companies. It is also advisable to evaluate the experience and reputation of the founders, owners or legal representatives of the company.
Protocols and safety measures
It is advisable to evaluate the protocols and security measures that the provider’s platform has, since this will allow you to protect and manage financial resources and virtual assets efficiently, in addition to protecting the personal information of users in general.
To carry out this type of evaluation, it is recommended to verify whether the VASPs have security protocols and measures that comply with the security standards established by the financial industry.
Compliance and regulations
It is advisable to evaluate whether the provider complies with local and international rules and regulations, in addition to verifying whether it is authorized to offer financial services, specifically related to virtual assets. In this way, you can choose a provider that will manage and safeguard virtual assets in compliance with the regulations, rules, and standards of the financial industry, which will ensure that the provider can provide us with effective advice on compliance with different regulations, such as preventing money laundering, financing of terrorism or fraud.
Rates and costs
When evaluating a virtual asset service provider, it is advisable to evaluate the fees and costs of the provider’s platform. To carry out this evaluation, it is important to compare the rates publicly offered by each provider and take into account those candidates that present in a “clear and transparent” manner each of the costs and fees, as well as the way in which they are calculated.
It should be noted that these types of fees or operating costs are generally related to currency conversions, monthly fees, transactions, withdrawals, maintenance, and deposits. This way, you can get a better idea of what the normal costs may be and avoid any type of “hidden charges.”
Evaluate the admitted assets
It is advisable to evaluate the assets accepted by the suppliers, since in this way, it will be possible to find out if the provider has the capacity to offer a service that meets our needs. It is important to note that the provider must have the capacity to support a wide variety of virtual assets, including cryptocurrencies and digital currencies.
What do you think about this topic? Do you want to learn more about virtual asset service providers (VASPs) ?
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