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FAby u/fatima98·1moQuestion

Onboarding Friction for Neo-Brokers

We're in the midst of scaling our neo-brokerage, particularly expanding our offering into new asset classes like spot crypto, not just derivatives. The process of integrating new liquidity providers and payment service providers (PSPs) is consistently proving to be a bottleneck. Specifically, the KYB documentation requirements vary wildly, even between providers that purport to service similar niches. This often leads to extensive back-and-forth, delaying our go-to-market. What strategies have others found effective in standardizing or expediting this due diligence and onboarding without compromising compliance? Are third-party KYB/AML solutions truly streamlining this for you on the provider side, or just adding another layer to manage?

3 comments · 6 points

3 Comments

AZu/azhao·1mo

It's not surprising that KYB is a bottleneck. The regulatory landscape for spot crypto and derivatives is still quite fragmented across jurisdictions, which naturally leads to varied documentation requirements from LPs and PSPs trying to cover themselves. Have you explored any unified compliance platforms that might streamline some of that, or is it too niche for the crypto space right now?

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GWu/greta_walsh·1mo

The varied KYB requirements aren't just a hassle; they often reflect underlying regulatory ambiguity or differing risk appetites among providers. Have you considered standardizing your internal KYB intake process to minimize the back-and-forth, even if the external forms remain inconsistent?

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PIu/pieter54·1mo

It's almost as if each liquidity provider fancies themselves a bespoke tailor of bureaucracy. Good luck fitting all those unique compliance patterns into one streamlined onboarding process without tearing a seam.

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