Switzerland Embraces Digital Onboarding: The Rise of eKYC Compliance
As fintech innovations continue to transform the banking industry, Switzerland has been at the forefront of embracing digital onboarding solutions, particularly in the realm of electronic know your customer (eKYC) compliance. This trend reflects the growing demand for seamless, digitally-enabled experiences from customers who increasingly expect speed and convenience.
History of Digital Onboarding
The Swiss Financial Market Supervisory Authority (FINMA) was among the first to permit domestic financial institutions to use online identity verification back in 2016, paving the way for banks to onboard new customers through digital means. Since then, regulations have become even more stringent, with updated requirements taking effect in January 2020.
Partnership and Adoption
To meet these demands, Swiss banks and fintechs alike are partnering with eKYC providers to accelerate adoption of digital onboarding solutions. Credit Suisse, for instance, has been leveraging Appway’s onboarding platform since July 2017 to offer a completely digital onboarding process for Swiss residents.
Key Players in the eKYC Space
Other prominent Swiss players in the eKYC space include:
- KYC Spider: Offers compliance services for finance intermediaries and banks, as well as fintechs and industrial corporations.
- Procivis: Specializes in digital identity solutions and e-government applications. Their eID+ platform enables individuals to access digital services provided by government and private sectors.
Importance of eKYC Compliance
With the rise of digital banking and fintech, eKYC compliance has become crucial for financial companies and startups alike. According to a survey conducted by Signicat:
- 72% of retail banking customers in Europe want an all-digital onboarding system.
- Those who onboard digitally are more likely to remain loyal and apply for more products and services.
Future of Finance
As Switzerland continues to lead the way in embracing digital onboarding solutions, it’s clear that eKYC compliance will play a vital role in shaping the future of finance. With innovative providers like Appway, KYC Spider, Procivis, Specitec, and id4 leading the charge, Swiss financial institutions are poised to deliver seamless, digitally-enabled experiences for their customers.