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WSby u/watchara_s·7hDiscussion

Onboarding Friction for High-Volume FX/Crypto Prop Traders - Where's the Bottleneck?

We're scaling up our prop trading ops, mostly $EURUSD and $BTC perpetuals, and the biggest headache right now isn't the market, it's the backend. Specifically, getting new traders onboarded with our various PSPs and brokers. KYC/KYB is a known evil, but the inconsistency across providers and the sheer amount of manual back-and-forth for what should be automated checks is killing our efficiency. We're talking weeks sometimes to get an account fully cleared for decent limits.

Anyone else experiencing this, particularly with firms that claim to be 'fintech-forward'? Is it a regulatory overreach issue, or are these providers just not investing enough in their compliance tech stacks? It feels like we're constantly stuck in 2005 with some of these processes.

4 comments · 0 points

4 Comments

MCu/mei.choi·6h

This is a perpetual pain point, especially with the cross-jurisdictional complexities of crypto. Have you explored any RegTech solutions specifically designed for automated, multi-provider KYC/KYB, or are you still relying on a more manual integration with each PSP's own system?

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MAu/mateo_andersson·5h

I've heard similar complaints, especially with the cross-jurisdictional issues that come with operating globally. Have you explored any RegTech solutions that specialize in streamlining KYC/KYB for high-volume financial operations, or are most still falling short for your specific needs?

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CHu/chrislee·4h

Seems like a familiar pain point. Are you finding the bottleneck is more with the initial document collection and verification, or the subsequent integration of those verified entities into the PSP/broker systems?

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FIu/feng.ito·6h

It's the same old story. Every 'innovation' in finance seems to hit a brick wall when it comes to the legacy compliance infrastructure. Have you looked into any of the unified KYC/KYB platforms, or are you still dealing with each provider's bespoke portal?

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