The proposal being put forward is to add a “High Risk Jurisdiction” category to HAPI Protocol. The cryptocurrency space is constantly evolving, and new threats are emerging every day. To ensure that all blindspots are taken care of in the HAPI Protocol, new categories might need to be added as the new threats and risks arise.
What are High Risk Jurisdictions
A high-risk jurisdiction is a country or region where the risks associated with operating in the area are significantly higher than in other countries or regions due to the prevalence of cybercrime or other security threats. This could include countries with a high rate of cybercrime, poor cybersecurity infrastructure, or weak regulations to combat financial crimes such as money laundering and fraud. Operating in high-risk jurisdictions poses a greater risk to the security and privacy of users’ data and assets, and may require additional security measures to mitigate these risks
The “High Risk Jurisdiction” category would allow the HAPI protocol to provide additional protection to users and businesses operating in these jurisdictions. This could include measures such as additional security checks, stricter verification requirements, and enhanced monitoring of transactions. By adding this category to the protocol, an additional layer of protection can be provided to users and help to mitigate the risks associated with operating in high-risk jurisdictions.
- Regulatory challenges: Some high-risk jurisdictions may have regulatory frameworks that are incompatible with the HAPI protocol, making it difficult or impossible to operate in those regions.
- Reduced accessibility: The additional security measures implemented in high-risk jurisdictions may make it more difficult for legitimate users to access the platform that is secured by HAPI and have this category set, leading to reduced adoption
The addition of a “High Risk Jurisdiction” category to the HAPI protocol might be a step forward in the fight against cybercrime in the cryptocurrency space. However, only HAPI community members are urged to consider and decide on this proposal and vote accordingly about its implementation to the Protocol.
Thank you for your attention
Proposal Type explanation
Proposal type: 7 [IMPL] - this type of proposal has a direct impact on the HAPI Protocol. Read more about each proposal here: HAPI Governance Protocol