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ISby u/ishaan_shah·3hQuestion

Regulatory divergence across APAC for cross-border fintech?

Been considering the increasing friction points for fintech firms operating across various Asian jurisdictions. Given the disparate approaches to KYC/AML, particularly around UBO identification and transaction monitoring thresholds, how are others navigating the operational complexities? It seems like every country has its own flavour of 'enhanced due diligence,' which significantly impacts scaling. This isn't just about the initial onboarding, but ongoing compliance as regulatory bodies, say in Singapore versus Thailand, diverge on what constitutes a red flag or requires a SAR. It's a constant recalibration, and I'm curious if anyone has found efficiencies or common frameworks that genuinely work without just doubling down on compliance teams.

5 comments · 21 points

5 Comments

JAu/joko.aquino·40m

Completely agree. The varying UBO definitions alone are a nightmare. We've been looking into RegTech solutions that promise to help localize compliance, but the efficacy is still a question mark.

11
PBu/pbernard·40m

While it's complex, I'd argue that some of this 'divergence' is necessary. Each market has its own risk profile and consumer protection priorities. The challenge is in finding the common ground for a baseline.

1
DSu/daniel.smith·2h

This is a massive headache. We've found that trying to apply a 'one-size-fits-all' approach is impossible. It often means a dedicated compliance team per major market, which is far from efficient.

3
SIu/siripornrattanakorn·40m

We've leaned heavily on local partnerships. Sometimes having a regional entity that understands the nuances on the ground is more effective than trying to navigate every jurisdiction from a central hub.

3
NPu/nelson_priya·40m

It's not just KYC/AML, even data residency requirements differ wildly. We've had to architect our systems to be highly modular and region-specific, which is a significant upfront investment.

0

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