CrossTech Magazine - 4th Edition June 2022

CrossTech THE MAGAZINE OF THE CROSS BORDER PAYMENTS INDUSTRY

Compliance as a security and integrity tool for a cross-border company | AROUND THE GLOBE

Best Practices for US Money Services Businesses | TO KEEP IN MIND

KYLE ODEN | Head of Operations

2Q 2022

Capital Compliance Experts

EDITOR’S LETTER

Priscilla D'Oliveira Friedman Priscilla comes with an extensive background in operations management, strategy, process improvement, consulting and training. She started her career in American Express where she led a variety of teams in the call center industry (executive customer care, dispute resolution network and social media response team).

EDITOR’S LETTER

EDITOR Hugo Cuevas-Mohr CO-EDITOR Priscilla D’Oliveira Friedman WEB EDITOR Virginia Martínez

Imagine a world without any institution to regulate cross-border businesses – why would we spend time on compliance? The short answer is; that we as cross-border businesses need the trust of our customers.

Due to the characteristics of the international money transfer scenario, which has been rapidly changing in the past years, and the emergence of new processes, crossborder compliance has a strong influence as an advisory strategy – not just preventive or detection because complying with policies, guidelines, and legislation; our industry

DIGITAL PRODUCT MANAGER Ana González

will have a more efficient decision-making process when it comes to design for risk

CREATIVE MANAGER Carolina Busnelli

Our June edition embraces and understands the importance of compliance in the

CONTACT US AT María Auxiliadora García help@crosstechpayments.com

our collaborator on the cover, who come to enrich our pages with their experience; in this

prevention and the determination of our values or missions. cross-border industry. Therefore, we are proud to present Capital Compliance Experts, edition, we give Kyle Oden, Head of Operations, who shares in an interview the mission of his company, what inspires them to move forward, their services and products, and also explain their perspective on the state of the industry, explicitly detailing how

The views and opinions expressed in this magazine are those of the authors and contributors and do not necessarily reflect the position of CrossTech, The Platinum Network or IMTC. The content here is for informational purposes only and should not be taken as investment, business, co mp lian ce, or le ga l ad vice. Co n ten t contained within this publication is not to be reproduced in whole or part without the prior written consent of the company. We welcome quotes of our articles by mentioning “CrossTech Magazine” or #crosstech and share the quote with us using our social media channels.

Capital Compliance Experts already had a plan in place before the pandemic, which allowed them to position themselves out front from the start.

This issue includes new companies. One of them is Beeteller, a young start-up from Brazil spreading throughout Latin America by leaps and bounds with its various products and services that create a robust ecosystem.

As in each edition, we allow ourselves to bring you current issues, inform you in time, and keep you at the forefront.

Thank you for being a part of CrossTech Magazine and I hope you enjoy your edition.

Enjoy,

© 2022 | ALL RIGHTS RESERVED

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COO, CrossTech 2

CONTENTS

NEXT 2022 ISSUE JULY

SPONSOR OUR NEXT EDITION PRINTED EDITION FOR CROSSTECH WORLD 2022 ADVERTISING | COLLABORATIONS | OPINION LEADERS | BE IN OUR COVER

TO KEEP IN MIND Beeteller Compliance as a security and integrity tool for a cross-border company Page 4

Kyle Oden

Nice to meet you Page 12

MSBA Best practices for US money services businesses Page 6

GADGET CORNER Evolution of cross-border payments Page 8

LATAM 2022 Complete conference available on Whova (until June 27th) Page 16

SPONSORS

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SPEAKERS DAY 1

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AGENDA DAY 1

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SPEAKERS DAY 1

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AGENDA DAY 2

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TEAM

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TO KEEP IN MIND Beeteller is an Electronic Money Institution specializingv in B2B cross-border payments.

We are regulated by the Central Bank of Brazil and certif ied by the Brazilian Association of Fintechs.

COMPLIANCE AS A SECURITY AND INTEGRITY TOOL FOR A CROSS-BORDER COMPANY

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ince 2018, Beeteller has connected global companies to the Latam market through local payment methods. We are present in Brazil and several countries around the world, contributing to the development of the payments industry.

institutions – and in compliance with the regulation that guides our industry.

Beeteller Group's Compliance Policy consists of internal procedures for integrity, due diligence, internal audit, prevention and monitoring of money laundering and terrorist f inancing, reporting to regulatory bodies Beeteller has an API solution that automates of possible irregularities, and the practical and facilitates the processing of application of codes of conduct.

Payments (Payin and Payout) and To support our Compliance Policy, “Our business international transfers, offering we use modern tools to prevent positioning users all the payment methods reputational and transactional is focused on available in Latin America. Our f raud, ensuring security for our the f inancial business positioning is focused business and our customers. services, SaaS, on the f inancial services, SaaS, Tourism, Tourism, Education, and iGaming Our code of conduct and ethics Education, and iGaming industries. def ines premises of legal, industries.” reputational, and commercial We are globally committed to security that reflect the identity of the best Compliance Practices the companies within the Beeteller and Standards of Conduct to enable an Group. Our ambition is to deliver quality environment that reconciles eff iciency products and services to our customers with and integrity—complying with national a high level of compliance. and international laws and standards that regulate payment arrangements and

Mariana Dutra Compliance Off icer

Beeteller

For more legal and compliance information, visit our page

compliance@beeteller.com

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BEETELLER 4

The best way to connect global companies to the B r a z i l i a n M a r k e t.

FOR ALL BUSINESS

EDUCATION

FINANCIAL SERVICES

E-GAMING

SAAS

TOURISM beeteller

TO KEEP IN MIND MSBA has made public the results of a work In collaboration with leading f inancial organizations, MSBA announced a set of standards for US MSBs focused on:

BEST PRACTICES FOR US MONEY SERVICES BUSINESSES

Safeguard f inancial systems Address the callenge of forced derisking Implementing FinCEN regulatory obligations

Kathy Tomasofsky

| Executive Director, MSBA

Considering the fast advancement of f inancial innovation, the MSB Best Practices address how the payments industry protects the US f inancial system and consumers f rom money launderers, sanctions evaders, human traff ickers, and f raudsters. They serve as a blueprint for established f irms and new market entrants in managing risks so that consumers can securely and safely send and receive their hard-earned funds.

In addition to assisting MSBs with approaching general regulatory requirements, banks and other f inancial institutions will be encouraged to engage in relationships with MSBs conf idently. Their AML compliance programs are consistent with these standards and best practices. Banks and other f inancial institutions can leverage these best practices to address the regulatory expectations of their regulators, as described in the FFIEC BSA/ AML Examination Manual.

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he MSBA collaborated with The Electronic Transactions Association (ETA); INFiN, a Financial Services Alliance; and The Money Services Round Table (TMSRT) to create a comprehensive template for companies that represent the full range of MSBs.

These Best Practices reflect the MSB industry’s commitment to ensuring a safe and compliant environment. The MSBA is thankful to all the regulatory and law enforcement agencies, f inancial institutions, money services businesses, trade organizations, banks, public policy bodies, and numerous individuals that provided feedback on this document and help the industry-driven effort to improve compliance with AML/CFT regulations.

This extensive cross-sector effort focused on two goals: First, to ref ine MSB AML/ CFT compliance standards to safeguard f inancial systems, and second, to address the challenge of forced de-risking (the cancellation of banking services to entire business lines, rather than on a case-bycase basis).

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READ COMPLETE REPORT 6

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GADGET CORNER

a guide to...

GADGET CORNER CrossTech

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echnology innovations, such as mobile apps, have inspired this corner where we will showcase services and products that we like, that we have

tested, and

we think that you should try them. It is

an eclectic collection, so look forward to a bunch of gadgets with no pattern or uniformity at all.

Enjoy!

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X-SEED offers storage for up to 8 wallets/ backup sets of 12 recovery words or 4 wallets/ backup sets of 24 recovery words. 1.5mm extremely durable Stainless-steel sheets can resist fire and temperature as high as 2649 °F / 1454 °C.

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GRAY CORAZON Crypto and bitcoin hardware wallet The CORAZON® wallet uses the Trezor firmware to keep your crypto private keys secure and accessible only to you. With support for over 1,000 cryptocurrencies, it also serves as a password manager for digital accounts, and a U2F hardware token to aid in authentication requests. To make backups easier, Trezor has created the recovery seeds standards (BIP32/39/44), giving you the power to recover your entire wallet by using the 12-word recovery seed. The CORAZON® also features the industry leading Shamir Backup (SLIP39) standard. In the event that your device has been misplaced, our security system allows you peace of mind and a way to act.

599 USD XT

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GADGET CORNER

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a guide to...

TRAVEL

SILVIANO TECH SLEEVE 13" Laptop sleeve, a smart helmet for cycle tripping... and more The Silviano Tech Sleeve is a beautifully crafted luxury leather folio that is handmade using full grain eco-leather and finished with a luxurious two-tone Tamponata hand painted effect. With multiple inner compartments to organize your daily essentials, the sleeve includes the Silviano powerbank and Chipolo ™ bluetooth tracker. It comes with a sleek retractable handle that gives support to the wrist.

150 USD

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ART

Netgear Meural Canvas II digital Art, Photos & NFT Crypto-Art Display Display what's distinctly you, f rom cherished memories to favorite artworks to NFTs you’ve downloaded. The Meural Canvas II is a stylish digital canvas that brings entire art collections and photo albums to your wall. Meural partners with some of the world's leading image collections to bring you a dynamic, ever-evolving art library of over 30,000 artworks.

599.99 USD

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GADGET CORNER

a guide to...

OFFICE GADGET

Rocketbook Smart Reusable Notebook The Rocketbook Matrix isn’t science fiction, it’s an all-in-one STEM solution! Designed for everything from math to construction to engineering to medicine, the Matrix is equipped with reusable graph paper to boost your graphing and diagramming capabilities. More than just a lab notebook, the Matrix works with the Rocketbook app to scan and digitally share your notes with anyone in the galaxy or to transfer your work to a computer. Plus, the innovative synthetic paper allows you to write smoothly with a Pilot FriXion pen, then magically wipe your pages clean with a damp cloth to reuse again and again.

We worked with several experts to develop our patented, futuristic technology, while keeping an authentic pen and paper feel. Time for liftoff! Start scanning your notes, to-do lists, and out-of-this-world ideas. See green, snap, and your notes will be visually enhanced! Then, your scans will automatically blast off to their rightful cyber destination at the speed of light, err... your mobile connection.

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599 USD

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WE ARE A BUSINESS

ECOSYSTEM

SERVICES

PRODUCTS

BSA/AML/OFAC independent reviews

Compliance management portal for document storage and organization

Policy and procedure development

Learning management system (On POinT Training Center) to provide ongoing education to employees and staff

Risk assessments Licensing support CFPB audit preparation Annual compliance oversight General compliance consulting

N I C E TO M E E T YO U

KYLE ODEN, CAMS

Transaction monitoring tools (Compliance IQ) to aggregate, analyze, and detect suspicious activity, and check cashing technology to mitigate check fraud

HEAD OF OPERATIONS CAPITAL COMPLIANCE EXPERTS

XT. What is the mission of your company?

with provide efficient and beneficial payment solutions to those that need it. Third, I have the freedom to participate in organizations such as CrossTech, MSBA (Money Services Business Association), and others to stay on the pulse of the regulatory landscape and industry changes to better advise our clients.

CCE. The Mission of Capital Compliance Experts is to mitigate the risk of global financial transactions. We do this by providing regulatory guidance to MSBs, Fintechs, remittance companies, crypto-related businesses and other businesses in the payments space from a consultative approach and through technology solutions.

XT. What kind of services do you offer?

CCE. From a service standpoint, Capital Compliance Experts (CCE) offers help with BSA/ AML/OFAC independent reviews, policy and procedure development, risk assessments, licensing support, CFPB audit preparation, annual compliance oversight, and other general compliance consulting. From a product standpoint, CCE provides tools such as our compliance management portal for document storage and organization, learning management system (On POinT Training Center) to provide ongoing education to employees and staff, transaction monitoring tools (Compliance IQ) to aggregate, analyze, and detect suspicious activity, and check cashing technology to mitigate check fraud.

XT. What inspires you to move forward in/with your company?

CCE. I think what inspires me to move forward with my company is three-fold. First, I like that our company supports other businesses and business owners. The regulation around MSBs can be complicated and we are able to simplify the process so owners can focus on other areas of their business. Second, our company strives to assist businesses that provide needed payment solutions to business owners and consumers. At the end of the day, all the financial technologies, principal MSBs and other organizations we do business XT

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Our perspective, as a compliance organization, is to instill a culture of compliance f rom the top down in any organization.

Continued education, proper policies and procedures, transparency and continuous oversight go a long way when banks make their determination as to which companies they are willing to offer services to.

XT. Tell us about your professional trajectory and the role you have within your company.

XT. Tell us about the trends and challenges of the industry at this moment.

CCE. One of the main challenges of the industry continues to be banking high-risk businesses.

Whether you are a check casher, remittance company, fintech, crypto or cannabis-related business, the challenge of maintaining a healthy banking relationship is very real. In some cases, state laws conflict with federal regulation, making banking certain businesses even more challenging. Our perspective, as a compliance organization, is to instill a culture of compliance from the top down in any organization.

Continued education, proper policies and procedures, transparency and continuous oversight go a long way when banks make their determination as to which companies they are willing to offer services to.

CCE. I have worked with Capital Compliance Experts for 14 years. Previously as Director of Business Development, I built a network of staff, consultants, banks, associations and regulators to ensure our company is providing the proper compliance solutions to best serve our clients. Primarily working with medium to large high-risk businesses, I have extensive experience placing the needed resources together to achieve projected milestones and meet client deadlines. Currently as Head of Operations, my day-to-day goal is to ensure the company is performing efficiently and effectively.

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One of our goals for 2022 and beyond is to continue to expand our services into the online payments space, crypto-related businesses, non-traditional payment rails, and other emerging markets.

XT. After two years of the pandemic, what have been your learnings?

How has it impacted your activities?

XT. What kind of alliances are you looking for in our conferences?

CCE. By attending CrossTech conferences, I look to build relationships with banking professionals, compliance consultants, industry experts and reach potential clients.

Additionally, our team looks to continually learn what other challenges the industry faces and what other resources are available to mitigate risk for our clients.

CCE. Fortunately for our company, we had a disaster plan in place. From day one of the pandemic, we were able to transition all employees quickly to a remote status and continue operations without pause. Some of our clients during the first year, however, were forced to shut their doors temporarily to comply with local and state guidelines.

It was difficult and heart-breaking to watch some generational businesses forced to shut their doors for good after several months of no income, yet still being forced to pay for operational expenses.

XT. What are your goals for 2022?

CCE. Historically our company has focused on the regulatory needs of traditional MSBs, check cashers, lenders, and principal money transmitters. One of our goals for 2022 and beyond is to continue to expand our services into the online payments space, crypto-related businesses, non-traditional payment rails, and other emerging markets.

One major way that the pandemic altered the way we do business is the lack of in-person interactions both in the office as well as during the independent review process. Zoom, Microsoft Teams, Google Meet and other similar video conferencing software has replaced much of the face-to-face aspects of business.

During the early days of the pandemic, I took advantage of working at home to simultaneously study for ACAMS, take the exam and get certified. At that time, working in the industry for over ten years, I really wanted to get certified for myself as well as provide the additional expertise for my company.

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WHAT’S YOUR COMPLIANCE IQ?

A U T O M A T E D TRANSACTION MONITORING Comprehensive automated transaction monitoring solution that reinforces your compliance management processes by identifying high-risk activity

Batch Processing Automated Filing Aggregated Data Real Time API

Government Sanction Screening Detailed Reports Automated Analysis

CROSSTECH LATAM 2022 Interviews and panels are now on our Youtube channel

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PANEL IN PORTUGUESE

PANEL IN ENGLISH

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WE APPRECIATE YOUR SUPPORT

SPONSORS

MEET ALL OUR PARTNERS

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SPEAKERS

KATHY TOMASOFSKY

DANIEL WOOD

MARY PFAFF

Executive Director of the Money Services Business Association (MSBA), the only trade association focused on money transmission payments and products. The association was launched in October 2015 at the MTRA conference as a voice for the Money Service Businesses with a focus on licensed entities. She is an experienced management and operations professional with more than 20 years experience in Insurance and Financial Services.

Practices at the intersection of f inancial services, technology, and regulation, by advising FinTech startups, banks, and payment facilitators on regulatory matters and transactions. He is a member of Pillsbury’s FinTech, Payments & Blockchain team. As a former attorney for the Texas Department of Banking.

Senior Director, State Legislative Policy, at the Conference of State Bank Supervisors in Washington, D.C. In that role, Pfaff has developed a consolidated state legislative tracking, analysis and reporting function covering the entire CSBS portfolio of bank and non-depository f inancial services state legislative and regulatory issues.

SPEAKERS

MARINA OLMAN

Advises foreign and U.S. f inancial institutions on a broad range of regulatory matters, including licensing, acquisitions, divestitures, compliance with Bank Secrecy Act (BSA)/anti-money laundering (AML) laws and regulations, and compliance with the Off ice of Foreign Assets Control (OFAC) sanctions programs.

DANIEL WOOD

Practices at the intersection of f inancial services, technology, and regulation, by advising FinTech startups, banks, and payment facilitators on regulatory matters and transactions.

He is a member of Pillsbury’s FinTech, Payments & Blockchain team. As a former attorney for the Texas Department of Banking.

JOE CICCOLO

Founder & President of BitAML, a compliance advisory f irm exclusively serving the Bitcoin and cryptocurrency market. Founded in 2015, BitAML has served hundreds of innovative clients including bitcoin kiosk operators, cryptocurrency exchanges, traders and trading platforms, cryptocurrency hedge funds and lenders.

ROSS DELSTON

Independent American attorney, expert witness (16 cases), and former U.S. banking regulator (FDIC) who has specialized in AML issues for over 20 years. He was a testifying expert on behalf of the U.S. Attorney’s Off ice (SDNY) in U.S. v.

Prevezon, a civil forfeiture action involving the proceeds of a massive Russian f raud.

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CrossTech

OUR TEAM Hugo Cuevas Mohr President & CEO CrossTech

Priscilla D'Oliveira COO CrossTech

Jennifer Holguín Lead Consultant

Claudia Ávila Director of Conferences and Sales

Isabel Cortes UK Consultant

Ma. Fernanda Valera

Digital Events Manager

Lourdes Soto Spain Consultant

María A. García Customer Service

Virginia Martínez IT Consultant

We are thankful to all our staff and the supporting team of collaborators who help us develop our conferences in each of the cities and regions we select to host them. Without their help, it would be impossible for us to give all the participants in our in-person and virtual events the unique experience we strive to give everyone attending.

Marcela Molina Sr. Designer

Ana González Digital Product Manager & Content Carolina Busnelli Creative Manager & Content

Check our next destinations and join us!!

Juan Posada Business Analyst

Diana Jofre Executive Assistant

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