In some situations, it may be as simple as making an account with the company and choosing a username and password; however, in regulated industries, more extensive processes such as KYC (Know Your Customer) and AML (Anti-Money Laundering) as required by relevant regulations.
It is essential for companies both old and new to be able to onboard new customers to be able to grow, and research indicates that without quick and easy customer onboarding, users often opt for different solutions for their needs. Without onboarding new customers, companies either fall behind their competition, or are unable to gain the traffic they need and collapse. Potential customers are noted in reports as willing to sacrifice security and privacy for ease of use. The time it takes to register, the time it takes for verification to come through, and the user interface can all impact a person’s choice on whether to onboard with a service.
When onboarding new customers in regulated industries, the necessary KYC and AML checks traditionally represent a significant pain point, with manual verification of documents carried out physically by employees (either internally by the company or outsourced to verifiers). This represents a significant cost to businesses, with some companies spending 10% of their revenue on KYC and due diligence required to onboard new customers. As a result, this process is increasingly being carried out on computers to take advantage of the benefits provided by digitalisation, and, even more recently, Artificial Intelligence such as Machine Learning has been applied to further improve customer onboarding solutions.
By employing new technology and opportunities such as AI, ML, mobile applications, and others which are still under development, customer onboarding is able to be carried out much faster and more accurately than it has traditionally been able to, and at greater volumes. Whereas before some people might have to wait weeks to use a new service, the process can use newer technology to be completed in mere minutes, or even seconds. With these benefits come a linked reduction in cost; huge efficiencies and the reduction of labour-intensive man-hours make the process of onboarding customers vastly more affordable. Despite this potential from technology, having a human element to oversee fringe cases and any possible issues is still recommended by most.
Blockpass provides identity verification that covers both KYC and AML regulatory compliance. Users fill out the relevant details and are checked against the required lists and criteria to ensure they are not associated with criminal activity. By having these checks performed through Blockpass, companies using Blockpass’ identity verification solutions do not have to worry about their personal liability in screening applicants, as Blockpass retains professional indemnity insurance.
With the Blockpass technology and approach, verification and onboarding happens almost instantaneously for pre-existing Blockpass users and is usually very rapid for new Blockpass users. In addition, as Blockpass puts users in control of their data and certifications, the solution can be offered at a reduced cost compared to traditional alternatives.
Blockpass offers a multi-product portfolio that allows merchants to choose the scale of solution that applies to each business and jurisdiction. Whether a business wants only Face Match certification, or if they also require KYC, AML or enhanced SLAs, Blockpass is able to offer a full range of identity verification solutions.
Rather than having to fill out the same KYC and AML forms over and over when transacting with other financial companies, users simply have to maintain one up-to-date profile, which is then shareable with anyone in the Blockpass ecosystem for instant onboarding, saving users from repeatedly re-doing and re-submitting the same forms, and saving companies the hassle of checking KYC and waiting on checks.