Free guide: How to use AI in compliance

Decentralized KYC

Decentralized KYC agents on a substrate where users own their identity

A new model for identity verification. Zyphe's Decentralized KYC pairs AI verification agents with a substrate that shifts personal data from company databases into user-owned vaults, eliminating PII liability while enabling one-click reuse across platforms.

What is KYC software?

KYC software automates Know Your Customer checks: it collects customer data, verifies identity documents, screens against sanctions and PEP lists, and records every result for auditors. It replaces manual review queues, cutting onboarding from days to minutes while producing the evidence trail regulators expect.

The distinction that matters when you compare tools is between software that performs checks and software that defends decisions. Running a document check is the easy part. Being able to show a supervisor, two years later, exactly what was checked, what the system saw, who approved it and why, is what separates a verification API from a compliance platform.

Trusted by those who trust no one.

Bondex
ETHDENVER
EBSI
Filecoin
XEurope
Protocol Labs
Supra
Yescoin
Twotixx
Milo Guastamacchia, Yooro CEO and Co-Founder
“Zyphe has completely transformed how we handle KYC data, allowing us to seamlessly share identity information with other financial participants while ensuring that users retain full control over their personal data.”
Milo Guastamacchia Yooro CEO and Co-Founder
15

A typical verification completes in around 15 seconds, document check to decision.

99.8

Document matching accuracy, measured on live client verifications.

70

Improvement in onboarding completion, because verified users reuse a credential instead of starting again.

Verified once, reusable everywhere

With Decentralized KYC credentials, returning users skip the entire onboarding flow. One verified identity, reusable across every platform they trust, approved in a single click.

Returning User
Already in Zyphe network
Vault Lookup
Credentials fetched instantly

Identity confirmed · <1s

One-Click KYC
No documents required

What KYC software has to do

Zyphe's Decentralized KYC delivers smart, fully automated AI-powered identity screening that adapts to emerging threats and regulatory requirements.

Identity document verification

Over 4,000 identity document versions from 213 countries and territories, plus Interpol and UN travel documents, across 15 document classes. The full list is published in our documentation, organised by region, country and where relevant by state. A published list is deliberate: a headline country count is a claim, a list you can check before you buy is an answer.

Liveness, anti-spoofing and injection-attack detection

Active liveness with anti-spoof checks against photographs, screens, videos and masks, and a face match against the document portrait at a configurable threshold, 75% by default. Injection-attack detection covers the attacks that never involve a camera at all: synthetic or replayed imagery fed directly into the capture stream, and deepfake presentation. Detection models are updated monthly, and this runs in-house rather than through a third-party biometric vendor, which means one fewer sub-processor in your data map.

Catching documents that aren't forged at all

The hardest category in identity fraud is the fraudulently obtained genuine document: a real ID, issued by the real authority, on false information. It defeats most vendors because there is nothing wrong with the document itself. Zyphe catches it at the document layer and downstream, across signals a genuine document cannot fake: biometric uniqueness, proof of address with name matching, geolocation and VPN mismatch, screening, and transaction monitoring after the account is open.

Sanctions, PEP, watchlist and adverse media screening

Screening covers sanctions, PEP, watchlists and adverse media, for individuals and companies, including UBOs identified during KYB. Fuzzy matching, a 0-100 risk score banded Low, Medium, High and Critical, and a count of contributing sources on every match so a reviewer can see why something fired. Screening runs at onboarding, then continues on list refreshes and event-driven triggers, with updates delivered by webhook.

Ongoing monitoring and an audit trail

A customer who was clear at onboarding may not be clear next week. Re-screening runs on a schedule you set and on list changes, and material changes reach your systems by webhook rather than waiting for a periodic review to notice. Every check, data source, match, override and approver is timestamped, so when a supervisor asks why you onboarded a specific customer in March, the answer is a report.

How it works

Zyphe delivers smart, AI-powered compliance screening that adapts to emerging threats and regulatory requirements.

Easily configure and plug in different identity modules and components based on your company's specific workflows using convenient webhooks and APIs.

Zyphe automatically sets data retention and monitoring requirements based on evolving regulatory needs around the world. Companies can further update monitoring timeframes based on their specific needs.

Customers and their counterparties are screened against global monitoring lists to ensure compliance with regulations around the world. Get notified instantly when someone appears on a monitoring list.

Document Verification
Perform a document scan
Liveness Detection
Confirm the ID matches the person
Encrypted Vault
AES-256 · Zero knowledge
Regional Storage
EU · US · APAC
Auto-Delete
Retention policy enforced

No more centralized PII honeypots

Decentralized KYC removes the single point of failure that fuels identity breaches. Personal data is sharded, encrypted, and user-controlled, so companies get compliance without custody.

Where data is stored, what is retained, and the audit status: the security and trust page

KYC software by industry

Banks
Customer Identification Program obligations at account opening, risk-rated due diligence, enhanced due diligence where risk demands it, and continuous monitoring across a large book.
Fintechs and payments
You compete on time-to-first-use, and compliance is the friction. The goal is not fewer checks, it is checks that run in the background and only interrupt the customer when something genuinely needs a human.
Crypto and digital assets
Travel Rule obligations, pseudonymous counterparties, and supervisors paying close attention to source of funds.
Online gambling and casinos
Document verification enforces a configurable minimum age, and the geolocation step checks GPS against IP country, flags VPN and proxy use, and screens against IP blacklists. NFC chip reading is supported for ePassports and eID cards.

How to choose a KYC vendor

An honest checklist, and our answers, including where we are weaker.

Coverage
Ask for the list, not the headline number. Ours is published: over 4,000 document versions across 213 countries and territories.
Accuracy, stated properly
Ask for false accept and false reject rates separately, on a population like yours. A single blended figure hides which way the errors fall, and rejecting genuine customers costs revenue while accepting fraudulent ones costs more. Ours is 99.8% document matching accuracy on live client verifications, and we will walk you through the breakdown rather than leaving you with one number.
Manual review rate
The number that determines your real cost and onboarding time, and the one vendors least like discussing.
Auditability
Ask to see a real audit export from a real case.
Data handling
Where does customer data live, for how long, under whose jurisdiction? Ours is unusual: documents and biometrics sit in the end user's vault rather than a central Zyphe database.
Where we are weaker
KYB register coverage depends on what each country's government makes accessible, and director data is frequently missing from official sources. We supplement it from additional providers, but coverage genuinely varies by jurisdiction. If your book is concentrated in markets with thin registers, ask us about those specific countries before you commit.
Certifications
SOC 2 and ISO/IEC 27001 audits are in progress, with completion targeted Q4 2026. Neither is certified today, and we would rather tell you that than let you find out during your own audit.

Why teams choose Zyphe

No central PII store
Documents and biometrics live in a user-held encrypted vault and are shared by proxy re-encryption. Zyphe cannot leak, or be compelled to hand over, a full identity record, because it does not have one.
Agents that can act, behind a non-AI guard
In Auto-pilot, an agent's decision is enacted only if a deterministic guard also passes. Every action is audited, and missing configuration fails closed.
Ownership discovery with a cost preview
Recursive UBO tracing to natural persons, with unresolved branches shown rather than quietly hidden, and reviewers extending branches node by node at a known price.
Real-time transaction monitoring with provenance
Every Allow, Review or Block shows exactly which rules fired, and any rule can be dry-run against your stored transactions before it goes live. Backtests are free.
A process built to be audited, including by AI
There is a built-in MCP server for agent access, and KYC Passport lets a verified user reuse their verification across partners with consent.

KYC vs KYB: verifying people vs verifying businesses

If your customers are companies, KYC alone is not enough. KYC verifies an individual. KYB verifies a company, its registration, status and ownership, and then requires KYC on the people who ultimately own or control it. Buying these as two disconnected tools is how firms end up with a UBO correctly identified in one system and never verified in another.

Zyphe runs the whole chain in one workflow: entity, then structure, then owners, then verified people, then one audit record. Each UBO and director gets a linked KYC flow with email invitations and scheduled reminders, and the KYB cannot be approved until they complete.

On price: pay per verification, in credits, with volume discounts. Every event consumes credits, and sandbox runs are billed like production unless the person being verified is internal to your own email domain. Model cost per successfully onboarded customer, not cost per check, because a cheaper headline rate with a higher retry and referral rate is usually the more expensive product.

KYB software →

Better compliance in 190+ Countries

Banking Secrecy Act

Enforces strict record-keeping and reporting requirements for financial institutions to prevent money laundering and financial crimes in the United States.

Anti-money Laundering Act

Establishes measures and responsibilities for financial intermediaries in Switzerland to prevent money laundering and terrorist financing.

Proceeds of Crime

Canadian regulation requiring financial institutions to detect, prevent, and report suspicious transactions related to criminal proceeds.

Terrorist Financing Act

Legislation enforcing measures in Canada to detect, prevent, and report financial activities linked to terrorist financing.

Anti-money Laundering

Australian regulation mandating financial entities implement robust compliance measures to detect, prevent, and report money laundering activities.

Counter-Terrorism Financing Act

Australian law ensuring financial institutions identify, monitor, and report activities related to financing of terrorism to maintain national and global security.

Integrate in as little as 15 minutes

curl -X POST https://verify.zyphe.com/v1/login_sessions \
-H 'Authorization: Bearer <API_KEY>' \
-H 'Content-Type: application/json' \
-d '{"auth_type": "email"}'

Frequent Questions

Decentralized KYC is a privacy-first approach to identity verification where users own and control their personal data instead of companies storing it across multiple databases. Zyphe's Decentralized KYC model lets credentials be securely reused for one-click onboarding without repeatedly submitting documents.

Unlike traditional providers (Jumio, Onfido, Sumsub), Zyphe decentralizes identity storage, providing unmatched security, lower compliance overhead, and faster onboarding through reusable credentials and data ownership.

Zyphe offers robust Know Your Business (KYB) services, enabling quick and reliable verification of business legitimacy, ownership, and regulatory compliance.

Establishing trust involves secure identity verification, transparent user policies, and protecting user data. Zyphe enhances marketplace trust through decentralized identity management, eliminating single points of failure and improving user trust.

Complete KYC privacy settings ensure that user data is securely handled and compliant with privacy laws (e.g., GDPR, CCPA). Zyphe implements advanced cryptography and decentralized storage to ensure unparalleled privacy.

KYC Readiness Score

Score how mature your Know Your Customer programme is across verification, automation, fraud defence and audit-readiness.
Take the KYC Readiness check