Definition ∞ A regulated payment network is a system for transferring funds that operates under the direct oversight and rules of governmental or financial authorities. These networks adhere to specific legal and compliance standards designed to ensure security, stability, and consumer protection. Traditional banking systems and licensed payment processors are examples. Integration with digital assets requires careful consideration of existing rules.
Context ∞ The intersection of regulated payment networks and digital assets is a rapidly evolving area, with authorities working to establish clear guidelines for digital currency transactions. Discussions often focus on how to integrate blockchain technology while maintaining existing anti-money laundering and know-your-customer protocols. News frequently reports on pilot programs and legislative efforts aimed at harmonizing these two distinct financial domains.
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