The latest research from OWI takes a closer look at the KYC space, pinpointing a booming subset dubbed “Know Your Business,” which is projected to grow to $11.8 billion by 2022.
In “Know Your Business: $12 Billion Reasons You Should Care,” OWI Labs provides a comprehensive analysis of the KYB subset, focusing on identity verification and risk assessment for business entity clients and their beneficial owners.
Among the report’s findings:
- The global KYB addressable market is estimated to be $5.6 billion (USD) in 2017 and is expected to grow at a 16 percent compound annual growth rate (CAGR) to $11.8 billion in 2022.
- Regulatory demand for KYB is heating up in the U.S., EU, Australia, Hong Kong, Japan, Singapore and more.
- The main driver of KYB services comes from increased focus on thorough due diligence of legal business entities and beneficial owners from regulators in the European Union and United States.
- Due diligence costs for institutions under regulatory oversight are high, due in part to the complexity and manual nature of many aspects of the KYB due diligence lifecycle.
- The ability to reduce end costs for institutions while maintaining sufficient quality standards during the KYB lifecycle will drive KYB solution adoption.
- Technology applications reduce the cost of compliance but are still limited by high risk entities and regions with limited identity transparency.
Other than financial services, demand for KYB comes from businesses engaged in international commerce that may need to comply with international economic sanctions, as well as B2B enterprises where the identity of the business counterparty may not be immediately apparent as in B2B e-commerce.
“Know Your Business: $12 Billion Reasons You Should Care” is now available to purchase for $495 at oneworldidentity.com/know-your-business. Interested parties are also encouraged to read the free OWI Labs report “Mobile Identity: The $34 Billion Opportunity.” Analysts from OWI Labs will also be participating in the KNOW Identity Conference 2018, which takes place in Washington D.C. March 26-28, with a keynote from L2 founder Scott Galloway.