According to A-Team Insight Blogs, Refinitiv is planning to withdraw its KYC as a Service offering because they, like Bloomberg, could not generate enough demand. This brings to question the viability of the KYC utility model. Apparently Refinitiv service was subject to a consultancy review before the decision to pull out was made.
A Refinitiv statement provided to A-Team Group, explains: “Refinitiv confirms that it has taken the decision to discontinue its KYC as a Service offering and is committed to an orderly and well-managed closure of the service. Refinitiv remains committed to helping customers manage their KYC, due diligence and third-party risk through its leading solutions including World Check, Media Check, EDD and in the area of Digital Identity. The company will work closely with its customers and partners to ensure they are supported through this process.”
Availability of current services:
- the former Avox entity data service, now Refinitiv’s Verified Entity Data as a Service, will not be impacted by the withdrawal of the KYCaaS solution and will continue to operate
- Verified Entity Data as a Service offering will not be impacted by the withdrawal of the KYCaaS solution.
CTMfile take: A full and integrated KYC solution has clearly not generated enough transaction for two very big players - Refinitiv and Bloomberg. This generates many questions: Does this clear the way for Swift’s KYC service to dominate? What will happened to the smaller players - IHS Markit and encompass. Corporates need to make it clear what they want and will pay for.
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