Innovations in Identity

RegTech Supply Chain

RegTech Supply Chain: What Regtech Tools Are Available?

RegTech Supply Chain

Are you trying to make sense of the RegTech industry? There are a lot of players in a lot of different sectors. After all, RegTech is short for regulation technology and there are tons of regulations and technologies to consider.

There’s a huge promise to mobilize individuals and empower companies. From helping the unbanked to getting their hands on the first rung of financial freedom, to ensuring that fraud and corruption are kept at bay, the potential of RegTech is enormous.

At the same time, with the sheer number of tools available, it’s difficult to navigate toward the best path forward to the most appropriate solution for your business. The range of categories of tools available is exciting, but also a bit overwhelming without effective curation. There are hundreds of potential RegTech solutions to use, so how can you digest the information about each product or service and pick the right solution for your business?

One way to catalogue all of these tools is by business needs. There are other models that classify by geography, use cases, and regulation. Perhaps though, what makes the most sense is having a list of categories based on when they are needed in the workflow, specifically classifying based on timeframes of the use of the RegTech tool.

What are different timeframes across a process lifecycle?

  • Onboarding
    Tools for the first step of signing up a customer. These are often one time or for new cases (ex. ONC, CDD, and KYC).
  • Monitoring
    Tools for analyzing performance on an ongoing basis.
  • Detection
    Tools for flagging potential events, such as risk or fraud. These are occasional in nature but require the utmost of attention.
  • Reporting
    Tools to warehouse, organize and send data to regulators at scheduled intervals.
  • Process Tools and Controls
    Tools and controls that operate over the entire process lifecycle

Over a series of posts, we’ll be covering each area in depth. Let’s start with onboarding, an area that Trulioo is very familiar with.

Onboarding

Onboarding refers to signing up new customers and the process they go through to become users. Steps like contract signing, setting up accounts and training are general onboarding processes.

For financial institutions (FIs), there are AML/KYC (Anti-Money Laundering/Know Your Customer) regulations that must be met when signing up new customers. To counter threats from money laundering and Anti-Terrorism Financing, FIs must be able to identify the individual and perform various customer due diligence checks to ensure the customer and their funds are legitimate.

Trulioo falls under this category, as we focus on providing a global identity verification service. We check data that a customer provides against our network of over 200 data sources to see if the information matches. By performing these checks, FIs are then assured that they are in compliance with their regulatory obligations for this stage on the process.

Here are some other tools that are useful in the onboarding stage:

Company NameCategory Description
Albany GroupCDD/KYCClient due diligence solutions
ComplyAdvantageCDD/KYCAML data and surveillance platform
ContegoCDD/KYCKYC validation tools for individuals and companies
Cynopsis SolutionsCDD/KYCTransaction monitoring for combating money laundering and terrorism financing activities
EncompassCDD/KYCDue diligence/onboarding automation and reporting
FenergoCDD/KYCKYC data management, client onboarding lifecycle
Arctic IntelligenceCDD/KYCAML risk assessment solutions
InvoxixCDD/KYCAutomated onboarding and risk analysis processes
KYC ExchangeCDD/KYCKYC data collection platform
KYC3CDD/KYCCustomer monitoring and reports
KYC-ChainCDD/KYCBlockchain-based customer onboarding
MuinmosCDD/KYCValidates whether a client can trade in a service/instrument
OpusDatumCDD/KYCTransactions monitoring/risk assessments for AML/sanctions
PassfortCDD/KYCKYC data collection and verification
ProvenirCDD/KYCMultiple source KYC data analysis
SignzyCDD/KYCDigital onboarding using AI and cryptography
SimpleKYCCDD/KYCKYC workflow including beneficial owners
SkryCDD/KYCTransactions and counterparty monitoring on the blockchain
TradleCDD/KYCBlockchain-based customer onboarding and AML reporting
TransparINTCDD/KYCMulti-source adverse media searches
TruliooCDD/KYCIdentify verification and watch-list screening
TrunomiCDD/KYCAllows customers to share data with banks for onboarding

On the next RegTech Supply Chain post we’ll look at monitoring tools; what are they, how they can help your business and a survey of suppliers.

As you can see from the list, there are many options to choose from, and the key to picking the solution that is right for your product or service is to understand your current business needs and anticipate and prepare for the regulatory challenges on the horizon.

Market Fintech conducted a RegTech Performance Report where they ranked top performing RegTech suppliers from around the world. If you’re interested in Trulioo’s approach to customer onboarding and how we can help you comply with cross-border AML/KYC requirements with speed, agility and scalability, check out our Product Brochures page.

Disclaimer: Trulioo provides no warranty that the information contained in this document is accurate, up to date or complete and in no circumstance does such information constitute legal advice. Any person who intends to rely upon or use the information contained herein in any way is solely responsible for independently verifying the information and obtaining independent expert advice if required.

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