🔹 Definition
eIDV (Electronic Identity Verification) refers to the use of digital tools, databases, and technology-driven processes to verify an individual’s identity remotely and in real time. It is a critical component of digital onboarding, KYC (Know Your Customer), and AML (Anti-Money Laundering) compliance frameworks—especially in fintech, banking, crypto, and regulated online services.
eIDV helps confirm that a person is who they claim to be by verifying credentials such as government-issued IDs, biometric data, phone numbers, email addresses, and more—typically via APIs and automated workflows.
🔹 Frequently Asked Questions (FAQs)
Q1: How does eIDV work?
eIDV solutions typically involve:
- Document verification: Checking passports, national IDs, or driver’s licenses using OCR and authenticity detection
- Biometric matching: Comparing a selfie or live video with the photo on the ID
- Database checks: Verifying user data (name, DOB, address) against trusted third-party or government sources
- Liveness detection: Ensuring the user is a real, present individual and not a spoof attempt
Q2: Why is eIDV important in compliance?
- Enables remote onboarding with regulatory assurance
- Reduces identity fraud and impersonation risks
- Supports risk-based KYC and automated decisioning
- Enhances user experience with fast, seamless verification
- Ensures compliance with AML laws, GDPR, PDPA, and other local regulations
Q3: Is eIDV accepted by regulators?
Yes. Most regulators accept eIDV when:
- The provider uses reliable and secure technology
- A proper audit trail is maintained
- The process meets requirements for non-face-to-face onboarding, often with enhanced due diligence (EDD) for high-risk cases
Q4: What are the challenges or risks of eIDV?
- False positives/negatives if system accuracy is low
- Vulnerability to deepfakes or synthetic identity fraud
- Data privacy risks if sensitive personal information is not securely stored
- Compliance gaps if not aligned with jurisdiction-specific identity proofing rules
