24 March 2018
« All videos

Are KYC and AML 'pointless'?

19 June 2014 | 6825 views | 3

Karen Wendel, CEO of IdenTrust examines the need for proper KYC, while acknowledging the unnecessary friction those regulations sometimes cause.

Comments: (3)

A Finextra member
A Finextra member | 19 June, 2014, 16:01 Some good and very cogent remarks from Karen here. My concern is not with inanimate end points becoming self-aware, and although I believe the maintenance system behind two disparate inanimate objects mutually authenticating, it is and will be possible. My concern is more with the ordinary actor in this scene, the consumer, who at present regards his identity and those charged with its creation, storage and maintence with feelings previously reserved for lawyers and real estate agents. I believe that the first move would be to persuade the consumer that his identity is worth creating and maintaining as much as he now does for his credit history. This will allow him to "invest" in a good KYC process, thus incentivising suppliers of such services, and the operation federated trust infrastructure .
Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
A Finextra member
A Finextra member | 19 June, 2014, 18:27

Nothing like self-actualizing the terminator!   Very good interview. 

Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
Denis Wicking
Denis Wicking - F C Consultants - Stowmarket | 24 June, 2014, 14:41

There seem to be two themes - one about managing our digital identities as held by those organisations who have checked us out, and, the role out of spin off identities that get created as we create links between those organisations and overlay extras such as the inanimate "fridges".

One point that was only touched on was the variety of ways in which regulators believe identity can be proven (and our lack of knowledge and therefore abilty to trust those systems). Mother's birth certificate is one extreme (I hope) of a spectrum, but serves to prove an issue in my world of international payments. Can I trust the source of a payment, and will I be fined if "dodgy" money moves through my systems. If my US bank customer receives money from Argentina, should I even allow them to have it when the regulations seem at odds with my regulators expectations. Conversely, the World Bank sees identity as a lower prioirity to facilitating remittances ro the developing world. PSPs in the UK have had to go to law to get Barclays to review its approach to not allowing moeny to be sent to Somalia.

Be the first to give this comment the thumbs up 0 thumb ups! (Log in to thumb up)
Comment on this story (membership required)
Log in to receive notifications when someone posts a comment

Related company information


Related blogs

Create a blog about this story (membership required)
Visit www.vasco.comVisit www.currencycloud.com

Top topics

Most viewed Most shared
hands typing furiouslyBitcoin at 50,000 USD?
14657 views 0 | 8 tweets | 5 linkedin
BBVA tests 'invisible payments' technology at inhouse cafeBBVA tests 'invisible payments' technology...
12087 views comments | 16 tweets | 35 linkedin
RBS hatches plan to create digital challenger bankRBS hatches plan to create digital challen...
11691 views comments | 12 tweets | 23 linkedin
Barclays partners seven watch brands for contactless timepiecesBarclays partners seven watch brands for c...
10630 views comments | 14 tweets | 32 linkedin
Germany's N26 readies for US launch with EUR110 million capital injection led by Allianz and TenCentGermany's N26 readies for US launch with E...
8573 views comments | 14 tweets | 10 linkedin