Gemini, a licensed cryptocurrency custodian, and exchange have achieved a new feat in the cryptocurrency industry. In a blog post on Tuesday, the company revealed it completed a SOC 1 Type 1 examination.
What’s SOC 1 Type 1 examination?
SOC is fully known as System and Organization Controls Examination, which is usually required for companies that play a part in their customer’s financial reporting. As per Gemini, the examination will cover the customer reporting, including commercial operations of both its custody and exchange platforms.
The SOC 1 Type 1 examination was held by Deloitte & Touche, one of the Big Four accounting companies. Per the report, the crypto company is now the first in the industry to adopt this level of operational compliance.
The major purpose of such examination is to prevent the potential risk of data error, omissions, as well as loss. With the capability to independently valid customer reporting, Gemini is enabling a more secure environment for users.
Crypto companies wake to security
The System and Organization Controls is an achievement recognized internationally within the traditional financial services sector. Crypto companies added such features as vital to its operations, particularly its crypto exchanges.
As reported, the exchange handles a high amount of complex transactions from users. Through the achievement today, the integrity of the company’s corresponding reports can be validated. More adoption of this financial standard by other companies could spell excellence in the crypto space.
Meanwhile, the company added in the report that it would be taking the Type 2 exam on a yearly basis. The idea is to independently ascertain whether the company’s reports and financial operations are being operated efficiently for a particular time.
The development is a step that demonstrates the company’s interest in offering more security to the whole crypto space. Notably, the company has been striving to earn trust among industry participants; it is hoped that the latest move today would push other companies into the wagon aimed at bringing more sense of security in the industry.