The Top 10  Most Difficult Countries for Identity Verification

The Top 10  Most Difficult Countries for Identity Verification

Download Report

    n-img-roi-cross

    Before You Go, Schedule Your Free Demo Today

    Valid Invalid number


    Note: Fields marked with an asterisk(*) are mandatory.

    n-exit-img-roi-cross

    Thank you for your demo request

    We appreciate your interest and look forward to discussing how our solution can meet your needs. Expect to hear from us shortly with scheduling details.

    Close

    Global KYC and AML Regulatory Updates To Watch for in 2022

    b-glo-img

    In 2022, the world continues to experience the serious aftermath of the coronavirus pandemic, yet the regulatory response is increasing along with the economic implications. So far, global watchdogs have collaborated with financial as well as non-financial institutions to assure that they play a crucial part in normalizing the global chaos. However, many firms have realized the power of unified regulations, yet many of them oppose the idea. 

    First and foremost, the aim of regulatory bodies is to secure the business’s primary operations, channel credit, supply chains, and security systems. Industries need to draw attention in areas, for instance, making service digital, seamless customer experience, and utmost data protection.

    b-sur-img

    Regulatory Update in the Finance Sector

    Bank of England, PRA, and FCA: Diversity and Inclusion in the Financial Sector

    In July 2021, financial watchdogs published a joint discussion draft on inclusion and diversity in the financial sector. The regulatory bodies find out that this can reduce groupthink, promote innovations, encourage debates, and can enhance results for the market as well as the clients, in support of financial stability. However, in this regard, the Financial Conduct Authority (FCA) and Prudential Regulation Authority (PRA) are intended to collaborate to make draft details more clear in the first quarter of 2022. However, the approved policy is expected to be issued in the third quarter. In addition to this, the Bank of England is also considering separately developing proposals to make the financial sector stable.

    FinCEN Final CDD Rule

    The FinCEN Final CDD Rule, which amends Bank Secrecy Act (BSA) standards and policies, aims to increase the transparency in the financial institutions and overcome the criminals from routing illicit cash out of the states. This rule further clarifies and improves the customer due diligence (CDD) regulations for US financial institutions including brokers, banks, and money exchanges. Under this amendment, the banks are required to determine and validate the true identities of clients, and beneficial owners of businesses before allowing them to carry out transactions or open an account.

    This rule comes up with four crucial aspects:

    1. Determining and verifying the customers’ identities
    2. Verify UBOs in case of business
    3. Understand the purpose and nature of customers to develop risk assessment systems
    4. Conduct ongoing monitoring and suspicious transaction reporting according to the client’s risk level

    Bank Secrecy Act (BSA) AML Regulation

    The Bank of Secrecy Act is US-based law that covers the financial activities in the country. It aims to secure the individuals as well as the financial firms from money laundering, terrorist financing, and proliferation financing. This AML compliance allows financial institutions to establish compliance programs, recordkeeping, suspicious activity reporting for national banks, and foreign banks. This Act emerged as an amendment to incorporate the provision of the US Patriot Act which mandates every bank to develop a customer identification program as part of the BSA compliance program.

    Following are the key aspects of BSA;

    1. Banks need to establish anti-money laundering programs to curb money laundering
    2. Financial institutions are obliged to incorporate identity verification systems to fulfill Know Your Customer compliance
    3. Under the BSA, banks are required to keep records of customers. Additionally, suspicious transaction activities, as well as transactions exceeding $10,000, must be reported to FinCEN 
    4. According to the BSA, financial institutions need to keep the records and reports for 5 years

    Regulatory Update for VA and VASPs

    Estonia Virtual Assets Regulations

    Estonia is one of the EU Member states that have acknowledged the true power of cryptocurrencies. Due to this, the country has come up with major amendments in its anti-money laundering regulations to legalize virtual assets service providers and cryptocurrencies. Estonia’s AML/CFT compliance is updated and streamlined with the EU’s sixth anti-money laundering directive.

    According to the updates, all the virtual asset service providers operating within the country are required to streamline their operation with Money Laundering and Terrorist Financing Prevention Act. This was updated back in 2020, which labeled VASPs as financial institutions. Therefore, the cryptocurrency exchanges and service providers need to hire an AML officer, implement FATF travel and VASPs standards. Additionally, businesses develop a risk-based approach to employ enhanced due diligence protocols to screen high-risk entities. Additionally KYC and SARs checks should also be fulfilled. However, the risk assessments and suspicious activities are to be reported to the FIU.

    Suggested Read: Estonia’s AML Act Amendments – Securing Virtual Currencies in 2022

    FATF Regulation for VAs and VASPs

    The Financial Action Task Force (FATF) has updated its guidance on the risk-based approach for cryptocurrencies and virtual asset service providers. The first draft was originally published in 2019 when FATF finalized the AML/CFT regulations for VA and VASPs. Following are the six amendments in FATF’s risk-based approach for cryptocurrencies;

    1. Clarified the definition of VA and VASPs
    2. Guidance regarding how to apply FATF standards on Stablecoins
    3. Standards for assessing potential risk for P2P transactions
    4. Amended licensing requirements for VASPs registering 
    5. Made travel rule obligatory for customers carrying virtual assets
    6. Includes crucial aspects of information-sharing and co-operation among VASP

    The aim of the update is to maintain a secure playing field for VASPs based upon the nature and type of financial services they are providing to streamline the FATF’s AML/CFT regulations.

    Suggested read: FATF’s Stance on Digitizing FIUs and Adopting A Risk-Based Approach for VAs

    6AMLD for Cryptocurrencies

    To enhance the fifth money laundering directive (5AMLD), the EU came up with the sixth anti-money laundering directive. This was majorly for the virtual assets exchanges and digital wallets service providers within the European Member states to curb money laundering activities through cryptocurrencies. This was a major breakthrough to regulate virtual assets and VASPs. Under this law, all crypto businesses are needed to perform customer due diligence, ongoing client monitoring, maintain suspicious transaction reports and risk assessment to make customer risk profiles. Other than this, crypto exchanges are needed to get registered with FCA in the UK. In addition to this, 6AMLD has also come up with strict and rigid punishments for non-compliant businesses and individuals found guilty in money laundering proceedings. The imprisonment is increased from one to 4 years. Other than this, sanctions and hefty fines are also listed.

    ​​Suggest Read: 6AMLD of EU – A detailed insight

    To Sum Up… 

    Every year, regulatory bodies come up with new laws or amendments to secure the digital landscape. Due to the Covid pandemic, criminal activities skyrocketed, which was an eye-opener for the regulatory bodies. Various regulations are legislated like AML, KYC and CFT to curb financial crimes.

    Shuftis’ state-of-the-art identity verification and AML screening solution is an ideal option for financial and non-financial firms to fight financial crimes. Shufti screens identities against 1700+ watchlists in less than a second and helps businesses to stay put with global regulatory compliances.

    For information on how we can help you in KYC/AML compliance, get in touch with our experts.

    Related Posts

    Blog

    Japan’s AML/CFT Assessment – August 2021 Report

    Financial crime is soaring sky high with digitisation becoming a part of our daily lives. Cyber a...

    Japan’s AML/CFT Assessment – August 2021 Report Explore More

    Blog

    Ensuring KYC/AML Compliance In Cryptocurrency Firms – The Role of Shufti

    With emerging technologies in the financial industry, cryptocurrency is picking up the pace, and ...

    Ensuring KYC/AML Compliance In Cryptocurrency Firms – The Role of Shufti Explore More

    Anti Money Laundering, Blog

    How is Libra’s Launch Changing the Cryptocurrency Landscape?

    Libra will have to go the extra mile to prove itself worthy of global acclaim that it aims to ach...

    How is Libra’s Launch Changing the Cryptocurrency Landscape? Explore More

    Blog

    Shufti’s ID Fraud Report: Reviewing 2022 and a Preview of 2023

    Twenty years back, “identity theft” was imagined as pictures of shady figures rifling through gar...

    Shufti’s ID Fraud Report: Reviewing 2022 and a Preview of 2023 Explore More

    Blog

    Facial Recognition | The Principles of Responsible Use and the Legal Landscape

    One of the most popular uses of AI nowadays is facial recognition. In all likelihood, it’s ...

    Facial Recognition | The Principles of Responsible Use and the Legal Landscape Explore More

    Blog

    Biometric Authentication – How Do Fraudsters Try to Bypass These Checks?

    Biometric authentication is one of the ideal ways of dealing with fraudsters. Unfortunately, crim...

    Biometric Authentication – How Do Fraudsters Try to Bypass These Checks? Explore More

    Blog

    AML Compliance – Addressing Financial Crime Challenges in the UAE’s Banking Sector

    The United Arab Emirates (UAE) is fast becoming the world’s most reputable financial hub, but the...

    AML Compliance – Addressing Financial Crime Challenges in the UAE’s Banking Sector Explore More

    Blog

    A Detailed Insight into Due Diligence for SMEs in Europe

    Recent developments in due diligence legislations have prompted debate on SMEs being subject to t...

    A Detailed Insight into Due Diligence for SMEs in Europe Explore More

    Blog

    The 5 Pillars of Anti-money Laundering Compliance

    Imposters often “launder” money acquired through illegal activities, like drug trafficking, so th...

    The 5 Pillars of Anti-money Laundering Compliance Explore More

    Blog

    Know your patient process explained [Under the GPhC’s guideline]

    How to make sure that the patient qualifies for purchasing a restricted medicine?  Or  Someone re...

    Know your patient process explained [Under the GPhC’s guideline] Explore More

    Blog

    Combating Money Muling Activities With Shufti’s AML Screening Services

    The coronavirus pandemic has brought about unusual changes in industries and lifestyles across th...

    Combating Money Muling Activities With Shufti’s AML Screening Services Explore More

    Blog

    Analyzing and Balancing the Variables of an Effective Identity Verification Solution

    Today’s constantly transforming digital landscape where technology empowers businesses fast-paced...

    Analyzing and Balancing the Variables of an Effective Identity Verification Solution Explore More

    Blog

    Shufti’s Ongoing AML Solution to Prevent Transaction Laundering

    Online financial criminals are always finding newer ways to exploit financial infrastructures in ...

    Shufti’s Ongoing AML Solution to Prevent Transaction Laundering Explore More

    Blog

    Inside the EU’s New Crypto-Assets Regulatory Regime – How Shufti Can Help

    With transforming technologies, the use of cryptocurrency is skyrocketing, and a large number of ...

    Inside the EU’s New Crypto-Assets Regulatory Regime – How Shufti Can Help Explore More

    Blog

    The Growing Risk of Wash Trading and Money Laundering – How Shufti Can Help

    The Non-Fungible Token (NFTs) market exploded last year and became one of the most popular buzzwo...

    The Growing Risk of Wash Trading and Money Laundering – How Shufti Can Help Explore More

    Blog

    AML Compliance for the Crypto Sector – How VASPs Can Adhere to the Regulations

    With cryptocurrencies gaining traction and entering the mainstream, financial regulators are asse...

    AML Compliance for the Crypto Sector – How VASPs Can Adhere to the Regulations Explore More

    Blog

    Top 5 Cybersecurity Trends to Look Out for in 2022

    With 2022 just around the corner, new developments in cybersecurity are already beginning to take...

    Top 5 Cybersecurity Trends to Look Out for in 2022 Explore More

    Blog

    Global Expansion, Digitization, and Crimes – How Shufti Can Help Financial Industry

    The financial industry has seen significant technological changes over the past recent years. Man...

    Global Expansion, Digitization, and Crimes – How Shufti Can Help Financial Industry Explore More

    Blog

    Augmented Intelligence – What 2019 have for AI systems?

    Admittedly, Artificial Intelligence or AI has gained a considerable amount of ill reputation from...

    Augmented Intelligence – What 2019 have for AI systems? Explore More

    Blog

    KYC and AML Compliance – Addressing the Challenge of Money Laundering in Online Trading Platforms

    An online trading platform is a program where shareholders and traders deal through financial int...

    KYC and AML Compliance – Addressing the Challenge of Money Laundering in Online Trading Platforms Explore More

    Anti Money Laundering, Blog, Financial Crime / AML

    Why PEPs are High Risk and a Threat To Your Business?

    In the Financial and Trade industry, you may have often heard the term PEPs and the importance of...

    Why PEPs are High Risk and a Threat To Your Business? Explore More

    Blog

    Identity Verification Forecast: How Will KYC Evolve in 2023?

    As the world becomes more digital, scammers are honing their craft and employing trickier techniq...

    Identity Verification Forecast: How Will KYC Evolve in 2023? Explore More

    Blog

    FINMA Report Indicates Unchanged Cybercrime and Money Laundering Risks

    Money laundering, identity theft, and various other cyberattacks risk have been elevated over the...

    FINMA Report Indicates Unchanged Cybercrime and Money Laundering Risks Explore More

    Blog

    KYC Compliance Will Become Your Competitive Edge

    Businesses, particularly the financial services sector, have been observing Know Your Customer KY...

    KYC Compliance Will Become Your Competitive Edge Explore More

    Blog

    A Basic Guide to Know Your Customer Online (2023 Update)

    In our current digital landscape, where identity theft seems rampant, protecting personal informa...

    A Basic Guide to Know Your Customer Online (2023 Update) Explore More

    Blog

    The Expected No-Deal Brexit and AML/CFT Laws in the UK

    The current prime minister of the UK Mr. Boris Johnson made a statement that the UK should be rea...

    The Expected No-Deal Brexit and AML/CFT Laws in the UK Explore More

    Blog

    The Growing Risk of Wash Trading and Money Laundering – How Shufti Can Help

    The Non-Fungible Token (NFTs) market exploded last year and became one of the most popular buzzwo...

    The Growing Risk of Wash Trading and Money Laundering – How Shufti Can Help Explore More

    Blog

    Kaseya Ransomware Attack – How to Protect Your Organization from Cyber Risks

    Did you know that by 2021, a ransomware attack is projected to occur every 11 seconds, costing co...

    Kaseya Ransomware Attack – How to Protect Your Organization from Cyber Risks Explore More

    Blog, Online Marketplace

    How AI is Transforming Fraud Prevention in the Healthcare Industry

    KYC For HealthCare: Fraud is so common that there is hardly any industry that hasn’t had to bear ...

    How AI is Transforming Fraud Prevention in the Healthcare Industry Explore More

    Blog

    Top 10 Real-World Scenarios Where Shufti’s IDV Can Help

    Whether you’re an e-commerce store that needs to verify delivery addresses or a bank that has to ...

    Top 10 Real-World Scenarios Where Shufti’s IDV Can Help Explore More

    Blog

    The ‘What’ and ‘How’ of Address Verification Service

    The rising number of chargebacks and other fraudulent activities has led organisations to develop...

    The ‘What’ and ‘How’ of Address Verification Service Explore More

    Blog

    Biometric Authentication: Use Cases and Advantages

    What is Biometric Authentication? Biometric authentication refers to the process of using unique ...

    Biometric Authentication: Use Cases and Advantages Explore More

    Blog

    Anti Money Laundering – What is AML compliance and why is it important?

    Anti-money laundering compliance is vital for obliged entities and being conversant with AML comp...

    Anti Money Laundering – What is AML compliance and why is it important? Explore More

    Blog

    AML Compliance – Identifying the Red Flags Money Laundering in the Real Estate Sector

    Purchasing real estate is an attractive way for money launderers to legitimise larger amounts of ...

    AML Compliance – Identifying the Red Flags Money Laundering in the Real Estate Sector Explore More

    Blog

    Online Identity Verification: 5 Trends to Expect in 2021

    The boom in digitisation forced businesses to opt for digital means of operations. Online busines...

    Online Identity Verification: 5 Trends to Expect in 2021 Explore More

    Blog

    Panama Moves Forward With New Crypto Bill – A Step Towards Legalizing Digital Assets

    Cryptocurrencies have been around for a decade now. As new technologies are emerging, criminals a...

    Panama Moves Forward With New Crypto Bill – A Step Towards Legalizing Digital Assets Explore More

    Blog

    How E-KYC is Overcoming the Hurdles of Financial Inclusion

    The challenges associated with the global pandemic have risen at a bewildering speed and yet ther...

    How E-KYC is Overcoming the Hurdles of  Financial Inclusion Explore More

    Blog

    Stablecoin Market and the Role of AML in Safeguarding Digital Finance

    With the rapid expansion of the cryptocurrency market, stablecoins have swiftly emerged as a popu...

    Stablecoin Market and the Role of AML in Safeguarding Digital Finance Explore More

    Blog

    A Guide to Anti-Money Laundering (AML) Regulations in the UAE

    As the Middle East’s financial hub, the UAE offers several enticing free trade zones that a...

    A Guide to Anti-Money Laundering (AML) Regulations in the UAE Explore More

    Blog

    California Privacy Rights Act – What Businesses Must Do to Comply

    The California Privacy Rights Act (CPRA), also known as Proposition 24, was approved on November ...

    California Privacy Rights Act – What Businesses Must Do to Comply Explore More

    Blog

    A Guide to Understanding KYC in Banking

    2022 has witnessed a rise in the number of fraudulent cases by 18% compared to 2021, damaging bus...

    A Guide to Understanding KYC in Banking Explore More

    Blog, Financial Crime / AML

    Shufti integrates AML Compliance into its end-to-end Verification Services

    Shufti has now launched AML compliance in its set of identity verification services to provid...

    Shufti integrates AML Compliance into its end-to-end Verification Services Explore More

    Blog

    Detecting & Preventing KYI Fraud | A Deep-Dive into 2023 Investment Scams

    Businesses need to bring on reliable partners and investors who can contribute to growth, provide...

    Detecting & Preventing KYI Fraud | A Deep-Dive into 2023 Investment Scams Explore More

    Blog

    A Brief Insight Into Anti-Money Laundering (AML) Regulations in Colombia

    Money laundering has become a global issue, and almost all countries are facing this threat in va...

    A Brief Insight Into Anti-Money Laundering (AML) Regulations in Colombia Explore More

    Biometric Technology, Blog, Online Marketplace

    Face Verification Becoming Vital For Travel Industry

    Over the past few years, biometric technology has become increasingly mainstream. This is due in ...

    Face Verification Becoming Vital For Travel Industry Explore More

    Blog

    Debunking the Top 5 Misconceptions about KYC Compliance

    Know Your Customer (KYC) compliance suffers from the issue of unintentional secrecy. Businesses h...

    Debunking the Top 5 Misconceptions about KYC Compliance Explore More

    Blog

    Shufti’s Growth Skyrockets Above 100% in the Fiscal Year 2020

    In 2020, Shufti witnessed a remarkable growth of over 100%. Together with this, it can comfor...

    Shufti’s Growth Skyrockets Above 100% in the Fiscal Year 2020 Explore More

    Blog

    The Future of Customer Onboarding Post-COVID-19 Pandemic

    The COVID-19 pandemic has changed our lives to the fullest and businesses have suffered a lot as ...

    The Future of Customer Onboarding Post-COVID-19 Pandemic Explore More

    Blog

    5 Ways Banks Can Minimize Risks In Light of KYC/AML

    If you’re dealing with customers across borders, how can you safeguard your bank by ensuring that...

    5 Ways Banks Can Minimize Risks In Light of KYC/AML Explore More

    Blog, Identity & KYC

    Age Verification – Ultimate Online Protection for Minors

    The rapid increase in the use of the internet is raising some major concerns for parents regardin...

    Age Verification – Ultimate Online Protection for Minors Explore More

    Blog

    Top 5 Reasons Why Businesses Need Transaction Monitoring Solution

    Companies are moving towards digitisation, meanwhile, cybercriminals are mastering the art of exp...

    Top 5 Reasons Why Businesses Need Transaction Monitoring Solution Explore More

    Blog

    CDD in Real Estate Sector – How to Comply With Updated Regulations

    When it comes to investing funds, real estate is considered the safest sector to invest in becaus...

    CDD in Real Estate Sector – How to Comply With Updated Regulations Explore More

    Blog

    Regulatory Compliance | The Importance of Age Verification on Betting Sites

    Online betting sites and gambling platforms frequently face significant challenges in adhering to...

    Regulatory Compliance | The Importance of Age Verification on Betting Sites Explore More

    Blog

    Identity verification in social media – Lighting up the dark side

    Social media is a word every one of us can relate to. With every passing day, it is penetrating i...

    Identity verification in social media – Lighting up the dark side Explore More

    Blog

    Securing Instant Money Transfers in the Banking Sector – EPC’s New Rulebook

    Financial services have always played a vital role throughout the entire history of advanced huma...

    Securing Instant Money Transfers in the Banking Sector – EPC’s New Rulebook Explore More

    Blog

    UAE Government Stepping Up Against Prevalent Crimes

    The UAE is known for being home to flourishing businesses and providing a significant level of fi...

    UAE Government Stepping Up Against Prevalent Crimes Explore More

    Blog

    Top 10 Forged ID Documents on the Dark Web in 2023

    As criminal activity increases every year, the massive amounts of data being uploaded to the inte...

    Top 10 Forged ID Documents on the Dark Web in 2023 Explore More

    Blog

    Anti-Money Laundering Screening | Securing Digital Economies from Financial Crimes

    The increased reliance on digital banking and the advent of virtual currencies in today’s d...

    Anti-Money Laundering Screening | Securing Digital Economies from Financial Crimes Explore More

    Blog

    Effective AML Compliance – Top 5 Tips for Businesses in Australia

    Given the significant increase in money laundering and terror financing activities, many countrie...

    Effective AML Compliance – Top 5 Tips for Businesses in Australia Explore More

    Blog

    The Top 10 Advantages of OCR for Business Owners

    In our current data-driven and digital world, many organisations struggle with vast quantities of...

    The Top 10 Advantages of OCR for Business Owners Explore More

    Blog, Identity & KYC, Reg Tech

    RegTech: The Case for Financial Inclusion

    The FinTech industry has grown tremendously in recent years, introducing both scale and efficienc...

    RegTech: The Case for Financial Inclusion Explore More

    Blog

    Cyber Monday Scams on the Rise Due to COVID-19

    Thanksgiving – a day that reminds us of all the bounties of Mother Nature that we should be...

    Cyber Monday Scams on the Rise Due to COVID-19 Explore More

    Blog

    The UK, US & Singapore – A Spotlight on the Crypto Regulations

    Non-compliance with anti-money laundering regulations has been an issue for the finance and crypt...

    The UK, US & Singapore – A Spotlight on the Crypto Regulations Explore More

    Blog

    Address Verification: Types, Benefits, and Best Practices

    Improving customer service and combating fraud frequently requires swiftly gathering and confirmi...

    Address Verification: Types, Benefits, and Best Practices Explore More

    Blog

    Top 6 Practises For Your Business To Pinpoint Key Risk Areas

    As global industries continue to evolve and digitise, customer risk assessment has become a criti...

    Top 6 Practises For Your Business To Pinpoint Key Risk Areas Explore More

    Blog

    AML/CFT Compliance – Why Australia is a Safe Haven for Money Laundering

    Recent inquiries and cases against major Australian casinos have raised questions about the measu...

    AML/CFT Compliance – Why Australia is a Safe Haven for Money Laundering Explore More

    Blog

    5 Predictions on the Future of Digital KYC and eKYC

    It’s 2023. Welcome to the day and age of digital KYC verification. From multiple copies of ID car...

    5 Predictions on the Future of Digital KYC and eKYC Explore More

    Blog

    Post-pandemic eCommerce Landscape Calling for Robust ID Verification Solution

    During the coronavirus pandemic, the e-commerce industry has witnessed a significant increase in ...

    Post-pandemic eCommerce Landscape Calling for Robust ID Verification Solution Explore More

    Blog

    All You Need to Know About Facial Recognition

    Rapid digitisation over the past few years has led to the adoption of facial recognition for many...

    All You Need to Know About Facial Recognition Explore More

    Blog, Online Marketplace

    Ride Sharing Services and ease provided by KYC Services

    Ride Sharing services might be the hottest form of transportation especially in developed countri...

    Ride Sharing Services and ease provided by KYC Services Explore More

    Blog

    Crypto Regulations 2021 – The Updated Compliance Regime in France

    Within the last two years, France’ cryptocurrency landscape has experienced significant milestone...

    Crypto Regulations 2021 – The Updated Compliance Regime in France Explore More

    Blog

    Lithuania’s AML Regulations – How the EU’s FinTech Hub Prevents Financial Crime

    Emerging FinTech firms around the world spend almost one-third of their overall budgets on develo...

    Lithuania’s AML Regulations – How the EU’s FinTech Hub Prevents Financial Crime Explore More

    Take the next steps to better security.

    Contact us

    Get in touch with our experts. We'll help you find the perfect solution for your compliance and security needs.

    Contact us

    Request demo

    Get free access to our platform and try our products today.

    Get started