By FINTECH Books Contributor, Gino Wirthensohn Follow: @GinoWirthensohn By automating work, digital business processes are key for Fintechs and other financial institutions in reducing overall efforts and gaining efficiency. This is also applicable for compliance processes, where meeting regulatory requirements is a must. Regulatory compliance in AML/KYC areas typically requires identification of customers and other related parties. In order to meet operational excellence in such a compliance driven processes, fully-automated client onboarding through digital channels needs to be implemented within the regulatory framework as far as possible. This article analyses both regulatory and technical requirements for a digital onboarding process in line with Swiss and international regulations. Not only does such a fully digitalized front to back processes benefit the financial institutions but also provides a more flexible costumer experience where the client can decide on his/her own when and trough which channel he/she want to establish a new account relation. The Swiss Financial Market Supervisory Authority FINMA has established a regulatory environment that allows for the implementation of a fully digital onboarding process in line with anti-money laundering due diligence requirements. Regulations now accepts the electronic authenticity confirmation of the client’s identity and no longer requires personal identification on-site. A specific FINMA regulation (Circular 2016/7 Video and online identification) outlines the technical and organisational requirements of the identity verification which can be performed by both video (audio-visual real-time as live transmission) or online identification. The identification process can also be used to onboard legal entities or partnerships for which additional requirements apply. Further, non-technology friendly regulatory requirements such as handwritten signatures are also being replaced with electronic solutions. Robo Advisiors in particular benefits from the further elimination of requirements such as the written form for certain contracts. If you would like to learn more about FinTech please look at our video courses at FINTECHCircleInstitute.com