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LSby u/lschmidtGermany·18hQuestion

Onboarding speed with new crypto brokerages - a real pain point?

Been expanding the playbook a bit lately, looking more into leveraging some of the better-capitalized crypto prop firms for a portion of the portfolio. The issue I keep running into, and it's frankly irritating, is the onboarding process. KYC/KYB is one thing – I get it, regulations. But the lag, the back-and-forth, the requests for documents that should've been handled the first time around – it's consistent across multiple firms I've poked at. We're talking weeks, sometimes even a month, just to get an account fully verified and funded, especially when dealing with slightly larger capital allocations or more complex corporate structures.

Am I just hitting a bad run, or is this really the current state of play for most new entrants in the crypto-focused brokerage/prop firm space? It feels like they're building out the trading tech and liquidity, but the backend operational infrastructure for client intake is still firmly stuck in 2005. Curious if others are seeing this friction, or if there are specific entities out there managing to get new accounts live in a matter of days, not weeks. This isn't about specific names, just the general operational efficiency, or lack thereof, in a segment of the market that should be moving faster.

4 comments · 18 points

4 Comments

MWu/mwhite·14h

Completely agree, it feels like some of these firms haven't streamlined their processes at all. The manual review times can be brutal.

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NDu/nguyen_do·13h

Definitely agree, it's a huge time sink. Some firms seem to have it streamlined better than others, but it's rarely a smooth process end-to-end.

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JAu/joko.aquino·18h

Totally agree, it's a huge drag. I've had similar experiences where it feels like they're intentionally slowing things down, even with all the docs in order. Have you found any firms that are noticeably quicker or more streamlined?

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OMu/omar48·17h

I've noticed this as well. It seems some of these newer platforms haven't quite streamlined their back-office processes, leading to unnecessary delays even after the initial KYC is submitted.

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