KYC
Know Your Customer (KYC) is a standard identity verification process used to confirm the legitimacy of a customer before granting access to financial services. It involves collecting and validating personal information, such as government-issued IDs, proof of address, and biometric data.
Why is KYC required?
KYC is a regulatory requirement designed to prevent fraud, money laundering, and other illicit activities. It ensures compliance with Anti-Money Laundering (AML) and Counter-Terrorism Financing (CTF) regulations. By verifying customer identities, KYC helps maintain security, transparency, and trust within financial ecosystems.
XGateway KYC requirements
Cryptoprocessing and Peer-to-Peer Customers: No additional KYC is required.
FIAT Bank Onramp Customers: Additional KYC is required starting from the first transaction.
XGateway enforces KYC verification using the SumSub widget during the checkout process (see the checkout flow). Customers must interact with the widget and manually provide the required KYC data. At this time, API-based KYC processing is not supported.
Data we collect in the KYC flow
First step of the KYC process is to collect the user data that will later be verified
The KYC process on the SumSub side is a matching game: i.e. the more data we provide the higher the likelihood of passing the KYC. On the other hand, customers might have already passed SumSub verification before, so in such cases, smaller KYC data sets can lead to a successful pass.
Second step of the KYC process is an Identity document check
Third step is a Liveness check - face identification performed by the partner widget. User will be prompted to use their camera and provide a well lit and clear image of their face.
Final step is address confirmation
Data collected during the steps of KYC flow is not stored on XGateway side. It is securely handled by the KYC partner instead, and the final result is based on the partner (SumSub) decision.
Corner Cases
If KYC processing fails mid-process, the XGateway SumSub KYC widget will attempt to identify the problematic fields and submit a patch request with updated information to expedite verification.
Average Processing Time: 15 seconds
Typical Processing Time: 10 seconds
Manual Review Cases: 10 minutes or longer
Historical Pass Rate: 96–97%
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