Elliptic’s James Smith on AI-Driven Crypto Compliance: From Skepticism to Necessity
James Smith, co-founder of blockchain analytics firm Elliptic, recalls an era when crypto companies dismissed compliance as unnecessary. "In the early days, people didn’t think it was essential," Smith noted during an interview at Token2049 Dubai. Coinbase stood among the few early adopters of Elliptic’s anti-money laundering tools.
By 2025, the narrative has flipped. Banks and traditional financial institutions entering the space have made regulatory compliance non-negotiable. "Now, nobody builds anything without considering compliance from day one," Smith observed. The shift underscores crypto’s maturation from a regulatory wild west to a sector demanding institutional-grade safeguards.
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