UK-based identity verification software provider, Sumsub , has published a comprehensive Know Your Customer (KYC) guide to help trading platforms remain compliant, increase pass rates, and efficiently deter fraud alerts. The guide provides actionable solutions for three main challenges regarding trading companies – compliance with KYC/ AML regulations, creating a quick onboarding process to verify users and reduce drop-offs, and keeping high standards in terms of fraud prevention.

Compliance with local KYC/ AML requirements is necessary as most trading companies are vulnerable to money laundering, as well as terrorism financing, fraud, and regulatory fines. The guide provides regulatory specifics for trading platforms across various countries and regions, describing different approaches for licenses and non-licensed traders to remain compliant. Apart from legal expertise, the new KYC release from Sumsub also offers practical steps on building user verification levels for safe and effective onboarding.

Ultimately, the guide aims to help businesses improve their KYC/ AML internal rules to better keep track of their customers and prevent potential cybercrimes and fraud alerts, including scams, identity theft, and money laundering. .