The financial institution’s woes with regard to compliance have been solved with the introduction of Regtech solutions. When it came into existence around a few years back, it has been able to gain the support of the investors and regulators alike.
However, it will still take time to grow to its full potential as there are few factors which need to be considered before the financial institutions shift its approach to the Regtech solutions. One of the solutions which have been introduced recently that are helping the financial institutions is the full identity verification process. Fully Verified is a video onboarding solution that has been gaining quite popular in this sector. Startups that are offering the Regtech solutions play an important part in partnering among themselves to take advantage of various new opportunities. Below mentioned are few of the key points related to Regtech solutions.
- The Regtech startups have various solutions which will help in easing the financial institution’s compliance burden but they need time to get adapted to the industry.
- The startups will collaborate with each other and along with financial institutions offering solutions. The global regulators need to adopt the Regtech themselves in order to advocate the industry.
- One can expect to witness the Regtech bringing in high data acquisitive solutions. It uses real-time information and incorporates analytics and algorithms in its solutions.
- It comes with new approaches to check and control fraud. It uses biometrics and social media to transform the method in which the customer due diligence is conducted and how the anti-fraud system works. This automation of the due diligence will help in using various data that could be tailor-made to suit the particular firm’s approach to risk. Also, it uses the machine learning and artificial intelligence to lead the charge on the process of regulatory