Founded in 2016, Bitpace is on a mission to remove the complexity of cryptocurrency payments and make them accessible to everyone. By giving businesses and consumers a way to receive, send, and store digital payments, Bitpace helps businesses understand the crypto landscape with confidence as they implement crypto solutions. .
In this interview, Rebecca Campbell, Crypto Content Editor at CoinJournal, sits down with Meryem Habibi, Chief Revenue Officer at Bitpace, to discuss regulatory changes in the cryptocurrency space. Habibi discusses the challenges businesses will face after the introduction of the Market for Cryptocurrency (MiCA) regulation, how zero-volatility solutions can help, whether increased regulation will slow down or accelerate the growth of cryptocurrencies, Learn more about the key steps to take when preparing for growth. changes in the regulatory environment;
Rebecca Campbell (RC): As the MiCA regulations come into force, what are the biggest challenges businesses face in adapting to these frameworks?
Meryem Habibi (MH): The main challenge is to address the complex compliance requirements of the prudential and governance standards outlined by MiCA. These frameworks require significant operational adjustments, including enhanced record-keeping, separation of assets, and adherence to strict governance protocols such as the Senior Managers and Certification Regime (SMCR). For many companies, a lack of regulatory clarity coupled with the need for an overhaul of internal systems creates dual pressures of time and resource constraints.
RC: How can Zero Volatility Solutions help businesses overcome increasingly stringent regulations while maintaining growth?
MH: Zero-volatility solutions such as stablecoins and fiat-pegged cryptocurrencies reduce exposure to price fluctuations. This is an important requirement under new regulatory standards. By providing predictable value, it helps businesses meet obligations such as storage requirements and asset segregation while maintaining trading efficiency. These solutions provide confidence for both consumers and regulators, reducing risk while allowing businesses to focus on scaling unencumbered by market volatility.
RC: What advice can you give to companies struggling to meet these new regulatory requirements without sacrificing operational efficiency?
MH: Take a proactive approach by investing in reliable cryptographic infrastructure that emphasizes compliance by design. Partner with fintech companies that provide tailored solutions to meet regulations, including automated reporting, secure storage, and risk management tools. Additionally, by educating internal teams about the evolving landscape and prioritizing scalable systems, companies can better respond to future changes.
RC: Can you elaborate on the role trusted infrastructure plays in ensuring compliance and minimizing risks associated with cryptocurrency adoption?
MH: Reliable infrastructure is the backbone of compliance and operational integrity. It facilitates real-time monitoring, secure data processing, and robust record-keeping that are essential to meeting regulatory standards. Additionally, such infrastructure enables companies to integrate financial crime systems, automate reconciliations, and provide auditable records, significantly reducing the risks associated with compliance violations and operational lapses.
RC: How does Bitpace's infrastructure specifically address the regulatory and operational challenges of companies in the crypto space?
MH: Bitpace's platform is built with compliance and user-friendliness at its core. Our tools enable complex processes such as secure storage, transparent reporting, and transaction tracking, allowing businesses to seamlessly adapt to evolving standards. Our global reach and localized understanding of regulations gives companies the scalability and adaptability they need to operate seamlessly across jurisdictions.
RC: What strategies do you recommend to ensure seamless payment operations while meeting regulatory obligations?
MH: Prioritize infrastructure that supports automation, from transaction processing to compliance reporting. Employing scalable solutions such as multi-currency wallets, integrated know-your-customer/anti-money laundering (KYC)/(AML) tools, and smart contract frameworks to ensure that payment systems are not only efficient but also compliant with regulations. Make sure your expectations are aligned. A focus on operational resilience and financial crime systems is also essential.
RC: Do you think increased regulation is significantly slowing global cryptocurrency adoption, or do these regulations potentially create new opportunities for businesses?
MH: Although increased regulation may initially slow adoption, it will ultimately provide a framework of trust and legitimacy that will enable broader adoption and institutional investment. Companies that embrace these changes early will emerge as leaders in more structured and secure markets. This change presents new opportunities, especially for companies that leverage compliant infrastructure and innovative products.
RC: In the current financial climate, which industries do you think would benefit most from leveraging cryptocurrencies as a strategic advantage?
MH: Industries with high volumes of cross-border transactions, such as e-commerce, remittances, and supply chain logistics, are expected to see significant growth. These sectors can leverage crypto for faster and more cost-effective payments while using blockchain for transparency and security.
RC: What key steps should businesses take today to prepare for future changes in the regulatory environment?
MH: Companies need to conduct a thorough gap analysis to identify compliance vulnerabilities and address them quickly. Engaging early with regulators, investing in scalable crypto solutions, and fostering partnerships with fintech providers are important steps. As outlined in the MiCA Roadmap, building a flexible system that can adapt to future requirements will ensure long-term viability.
RC: Are there any common mistakes companies make when trying to align with new crypto regulations?
MH: One common mistake is underestimating the complexity of compliance. This leads to piecemeal solutions that fail to address systemic challenges. The other is that it focuses only on immediate regulatory requirements without considering scalability for future requirements. Finally, some companies overlook the importance of customer education and communication, which is critical to maintaining trust in a highly regulated environment.
RC: Can you share an example of a company that successfully leveraged zero-volatility solutions to overcome regulatory challenges while achieving growth?
MH: Bitpace addresses cryptocurrency volatility by automatically converting cryptocurrency payments into stable currencies such as EUR, USD, USDT, and USDC. This allows businesses to accept cryptocurrencies without the risk of price fluctuations. Bitpace supports over 70 cryptocurrencies and integrates with multiple liquidity providers to ensure efficient, cost-effective, and reliable trading.
Bitpace allows many businesses to streamline cross-border transactions and maximize profits by providing a time- and cost-effective solution without being exposed to more volatile cryptocurrencies like Bitcoin. I've been doing this.
The Bitpace platform adheres to global regulatory standards such as the Financial Action Task Force (FATF) guidelines and the Travel Rules, while complying with the EU's MiCA regulations. These compliance measures have coincided with significant growth, with Bitpace reporting a 480% year-over-year increase in trading volume since October 2023. This growth reflects the increasing adoption and growing confidence in cryptocurrency payments in areas such as remittances, foreign exchange, and travel. , Hospitality, E-commerce.
