Comment by rsync
1 year ago
The talking point we should be using is: if banks know their customers, we don’t have to.
The trail of knowing ones customers always leads to payments and finance.
If we are accepting payment for our services with standard bank card transactions or wire transfers, etc., then the knowing of the customer can be centralized at the banks.
Also, the banks have proven themselves fairly inept at it.
The problem is that KYC, being a cost centre with no upside other than "it's imposed on us by law", immediately turns into a box-checking exercise.
The industry will barf up some terrible "compliance in a box" solution, everyone will use it, it will eventually get databreached, and the people who brought us Bulletproof Hosting back in the Viagra Spam era will come back with Bulletproof Rack Full Of Quadros.
Exactly. What is the point of repeating KYC across every industry? I work on the KYC team of a banking/finance company. It takes a significant amount of resources.
Unless we create global governing initiatives similar to FATF for IaaS products, American IaaS offering will become less competitive.