USING BLOCKCHAIN FOR KYC/AML COMPLIANCE

On 28th May, Dentons published an article on using blockchain to improve KYC/AML compliance regimes.  It says that, according to a 2016 Thomson Reuters report, financial institutions individually spend anywhere from $60 million to $500 million annually on KYC/AML compliance, but that, in many cases, current compliance programs are manual, fragmented and slow, all of which impedes the client’s business and can potentially damage the client relationship.  The article says that it is increasingly clear that the private, permission-based model offered by distributed leger technology (DLT) – a type of blockchain – is best suited for handling KYC and AML compliance, and can solve inefficiencies in existing KYC/AML processes and reduce compliance costs.

https://www.dentons.com/en/insights/articles/2019/may/28/using-blockchain-for-kyc-aml-compliance

demtn

Example of a Blockchain-Based KYC/AML Compliance System

Author: raytodd2017

Chartered Legal Executive and former senior manager with Isle of Man Customs and Excise, where I was (amongst other things) Sanctions Officer (for UN/EU sanctions), Export Licensing Officer and Manager of the Legal-Library & Collectorate Support Section

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