Case Study: GOAT Finance

Discover how GOAT Finance improved its KYC compliance program with iDenfy’s identity verification, boasting a 97% user acceptance rate in just 2 minutes on average during the customer onboarding process.

About GOAT Finance

  • GOAT Finance is an established and licensed financial institution enabling users to buy, sell, and trade cryptocurrencies easily.
  • GOAT Finance offers peer-to-peer (P2P) and over-the-counter (OTC) exchange services for fulfilling medium to large orders.

GOAT Finance places advertisements on the world’s top exchanges and ensures liquidity through partnerships with the most reputable and certified providers.

The company’s vision is to offer a seamless service that promotes and supports widespread Bitcoin adoption as a means to achieve financial freedom and uphold human rights. Currently, GOAT Finance maintains a monthly trading volume of at least €500,000, ensuring strict compliance with Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) regulations.

The Challenges

According to the GOAT Finance team, following regulations is not an easy task. However, the company remains dedicated to complying with both European and global regulations to ensure the safety of its users’ crypto investments. Above all, GOAT Finance is driven by its mission to contribute to a safer industry as it pursues its goals.

GOAT Finance’s compliance procedures consist of a series of steps, such as implementing Know Your Customer (KYC) procedures, verifying the source of funds, implementing AML monitoring systems, and conducting customer risk-scoring. These measures are all aligned with GOAT Finance’s AML policy to ensure a robust and secure environment for its operations.

Despite that, GOAT Finance aimed to add an extra layer of security and find the right balance between user convenience and stringent security means. The primary challenges the company encountered involved identifying a dependable KYC provider that would ensure safety, offer good value for money, and provide feature-rich solutions that met its requirements.

For GOAT Finance, this was crucial to build customer trust and stay compliant with ever-changing regulations. 

To offer its customers a smoother onboarding process while reducing manual work and errors, GOAT Finance needed multiple fully automated fraud prevention solutions, preferably offered by a single RegTech platform. 

“We had high expectations for a full-service provider, which means having complete customer control and a customized monitoring system,” said Paul Andres Padilla, the CEO of GOAT Finance.

Because GOAT Finance’s clientele comprised regulated and licensed institutions, the new KYC/KYB/AML service provider had to meet strict technical specifications, ensure a secure process, and comply with demanding regulatory requirements.

Additionally, the automated solution needed to seamlessly integrate with GOAT Finance’s back-office system, along with its white-label web and mobile applications.

To overcome this challenge, GOAT Finance embraced a comprehensive approach, which included leveraging advanced technology, implementing robust risk management practices, and maintaining constant monitoring and improving its security measures.

The Solution

In the search for a multi-functional solution that would fulfill the business and regulatory needs of diverse cryptocurrency clients, iDenfy offered to deliver various onboarding solutions, including KYC/AML checks equipped with advanced security technologies, efficient customer and process management tools, all accessible through their user-friendly dashboard.

Collaborating with iDenfy provided GOAT Finance with a comprehensive solution for user convenience, security, and regulatory compliance.

However, GOAT Finance was particularly impressed with iDenfy’s standout feature, a comprehensive KYB platform that offered automated company document checks, custom questionnaires, and support for identity document verification in various languages.

GOAT Finance integrated iDenfy’s full-stack KYC/KYB solutions, leveraging advanced technologies such as facial recognition, document verification, proof of address verification, and AML monitoring. Additionally, they implemented PEP, adverse media, and sanctions screening.

This led to faster and more accurate identity verification during customer onboarding and significantly enhanced GOAT Finance’s AML compliance program — all in accordance with specific business requirements:

  1. Identity Verification. For onboarding new customers through document verification and address verification (proof of address check using utility bill lookup functionality). 
  2. Business Verification. For onboarding companies through company documentary verification, government registry checks, and beneficiary identity verification checks.
  3. AML Screening and Ongoing Monitoring. For automated screening of global and local watchlists, adverse media (negative news), as well as PEPs and sanctions lists. 

“Our top priority is to prevent money laundering and prevent dubious characters or potential criminals from exploiting the positive aspects of this incredible technology. iDenfy’s solutions make this crucial task possible,” added Paul Andres Padilla.

The Results

iDenfy’s fraud prevention hub has significantly reduced the risks for GOAT Finance by customizing an Anti-Money Laundering (AML) monitoring system. It can generate verification links that align with GOAT Finance’s specific requirements, including language preferences to accommodate its customers. This tailored approach ensures enhanced security for each new customer onboarded by GOAT Finance while increasing the overall quality of the services. 

iDenfy successfully helped GOAT Finance strike the ideal balance between delivering high service quality and a user-friendly experience while ensuring the utmost security and compliance with regulatory standards.

In addition to that, iDenfy has helped GOAT Finance revolutionize the KYC workflow by eliminating the requirement for human intervention. iDenfy’s KYC/KYB and AML solutions have resulted in a 77% reduction in manual work for in-house compliance specialists, saving time and costs during customer onboarding. 

Thanks to this fully automated four-step verification approach, GOAT Finance can now onboard 97% of its users within an average of 2 minutes

Apart from these results, iDenfy’s KYC/KYB and AML solutions help GOAT Finance ensure:

  • Compliance with regulatory requirements and enhanced security measures.
  • Hassle-free automated acquisition of proof of address documents, such as utility bills.
  • Effective customer monitoring for detecting AML risks in real-time.
  • Automated screening to detect high-risk customers and check them against sanctions, PEPs, and adverse media.

Other useful features include personalized workflows, wide global document coverage, or support in various languages —  all crucial factors helping GOAT Finance scale while ensuring secure transactions. 

“iDenfy seamlessly integrates with our AML, KYC and KYB policies, offering sophisticated and scalable solutions to ensure compliance in new markets. They make verifying users and companies across multiple regions secure, efficient, and simple.”

The CEO of GOAT Finance, Paul Andres Padilla

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