KYB for non-US entities operating in the US?

Question

Curious if anyone has insights into the typical hoops for a non-US fintech looking to onboard US-based businesses. Specifically, what's the general expectation around KYB verification when the parent entity is outside US jurisdiction, but the service is directed at US small businesses? Seems like a potentially tricky grey area regarding regulatory overlap and what level of due diligence is considered sufficient from a US compliance standpoint.

kavya_k · Accepted Answer

Generally, you'll need to adhere to US KYB standards regardless of the parent entity's jurisdiction if you're serving US businesses. FinCEN's guidance often applies, and many non-US firms simply adopt a US-equivalent due diligence process to avoid issues.

limpongsa_kanya · Answer

เรื่อง KYB สำหรับ non-US entity ที่จะมาทำธุรกิจกับ US SMEs นี่ซับซ้อนจริงๆ ครับ ส่วนตัวคิดว่าต้องดูที่ประเภทธุรกิจและบริการเป็นหลัก รวมถึงว่ามีธนาคาร partner ใน US หรือเปล่า เพราะ KYC/KYB ก็จะอิงตามกฎของธนาคารนั้นๆ ด้วย

jasmine_p · Answer

That's a really interesting point. I've seen some non-US fintechs use a US-based subsidiary to handle the KYB/AML for their US clients, which simplifies things considerably for the US operations. Have you looked into that model at all?

KYB for non-US entities operating in the US?

Top answers

Related questions