Plan Compliance and Risk Controls
Understand the compliance, risk, and operational controls required to support your platform model.
Compliance and risk requirements are influenced by participant types, funds flow design, supported geographies, and enabled platform capabilities.
These requirements may impact onboarding experiences, participant verification, payout eligibility, operational processes, and ongoing platform monitoring.
Compliance Ownership
Compliance responsibilities should be defined before implementation begins.
Consider:
- Who is responsible for participant onboarding compliance?
- Who manages remediation requests?
- Who reviews onboarding exceptions?
- Who owns ongoing monitoring activities?
- Who manages participant support for compliance-related issues?
Establishing ownership early helps streamline onboarding, operational support, and regulatory processes.
Identity Verification
Verification requirements may vary depending on the participant's role within the platform ecosystem.
Examples include:
- Individual identity verification
- Business verification
- Beneficial ownership verification
- Account verification
- Supporting document collection
Verification requirements should be evaluated during platform design to ensure the appropriate onboarding experience is selected.
Screening & Ongoing Monitoring
Compliance obligations often extend beyond initial onboarding.
Risk controls may include:
- Sanctions screening
- AML controls
- Fraud controls
- Participant profile updates
- Periodic verification reviews
- Transaction monitoring
- Ongoing sanctions monitoring
Monitoring requirements may vary depending on participant type, geography, funds flow design, and enabled services.
Agreements & Participant Consent
Participants may be required to review and accept disclosures before accessing platform services.
Examples include:
- Terms of Service
- Privacy disclosures
- Payment processing disclosures
- Electronic communication consent
- Program-specific agreements
Platforms should determine how acceptance is collected, stored, and made available for audit purposes.
Geographic Expansion
When expanding into new countries or regions, evaluate:
- Supported countries and regions
- Local onboarding and verification requirements
- Regulatory obligations
- Supported payout methods
- Currency support
- Documentation requirements
- Localization considerations
Expansion planning should be completed before onboarding participants in new markets.
Exception & Remediation Management
Not all participants will successfully complete verification during their initial onboarding attempt.
Consider:
- How remediation requests are communicated
- How additional documentation is collected
- Who reviews onboarding exceptions
- How participant status is tracked
- How escalations are managed
Establishing a remediation process helps reduce onboarding delays and improve participant support.
Compliance Design Principles
Successful compliance programs are built around four foundational areas:
- Verify - Confirm participant identity and eligibility
- Screen - Evaluate participants against applicable risk controls
- Monitor - Continuously assess participant and transaction activity
- Remediate - Resolve onboarding exceptions and compliance issues
These principles help ensure platform growth is supported by appropriate compliance and risk controls.
Compliance Readiness Checklist
- Participant types identified
- KYC/KYB requirements defined
- Verification requirements documented
- Required participant documentation identified
- Terms and disclosure acceptance process defined
- Screening and monitoring requirements established
- Exception management process defined
- Compliance ownership assigned
- Geographic expansion requirements reviewed
- Escalation procedures documented