VARA Compliance Solutions

Requirement: Engage independent auditors to assess smart contracts and L1 chain security annually and prior to new deployments.

CertiK Solution: Expert analysis and mathematical verification of smart contracts and blockchain protocols to ensure secure operations.

Requirement: Perform regular security testing, vulnerability audits, and maintain preventative controls.

CertiK Solution: Comprehensive penetration testing using OWASP methodology to identify vulnerabilities and mitigate risks.

Requirement: Regular internal and external infrastructure audits to maintain network integrity.

CertiK Solution: Network penetration testing using PTES and NIST SP 800-115 standards to ensure secure infrastructure.

Requirement: Implement ledger tracing software, monitor transactions, and integrate with AML/CFT policies.

CertiK Solution: SkyInsights platform provides on-chain intelligence, risk scoring, and integration for AML/CFT compliance.

Requirement: Maintain reserve assets 1:1 with client liabilities, daily reconciliations, and independent audits.

CertiK Solution: PoR audits validate reserve accuracy and provide transparent reports for VARA compliance.

Requirement: Independent third-party audits must be conducted before deployment, including formal verification where applicable, to ensure the integrity of systems and applications.

CertiK Solution: Formal Verification of smart contracts and critical systems to guarantee correctness, compliance, and security.

Requirement: VASPs must maintain secure cryptographic key and wallet management, including auditing key generation, storage, access, and backup, addressing single points of failure, and analyzing the security of any open-source libraries used.

CertiK Solution: Whitebox testing and source code review for key management, sensitive data protection, and open-source libraries, designed to detect and mitigate risks and vulnerabilities at the code level.

Requirement: VASPs must implement tactical hardening measures to limit attacker access once a compromise is detected, including emergency access revocation, network segmentation, system isolation, pre-approved emergency change procedures, and regular testing.

CertiK Solution: Evaluates servers, endpoints, and network devices to verify secure settings and tactical hardening capabilities, identifying gaps and guiding remediation to align with VARA.

Requirement: VASPs must implement incident response procedures, including root cause analysis and corrective actions to prevent recurrence. Incidents affecting personal data must be reported to VARA within 24 hours.

CertiK Solution: On-chain investigation support and expert advisory to establish effective incident response and recovery procedures, ensuring timely reporting according to VARA regulations.

Requirement: VASPs must conduct a security review before deploying any new feature.

CertiK Solution: Provides threat modeling and secure coding reviews to identify potential threats, mitigate vulnerabilities, and promote secure development practices.

Requirement: VASPs must provide regular security awareness training to all personnel on common cyber threats.

CertiK Solution: Tailored programs to educate employees on security risks and best practices, reducing human error.