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Sumsub launches NFC verification to make online ID checks 99% secure

Near-field communication (NFC) verification technology lets businesses stay compliant with AML/KYC requirements by preventing identity fraud and protecting personal data. As a result, NFC-based ID checks are gaining popularity around the globe.

Sumsub, a tech company that fights money laundering and online fraud, has recently added NFC-based checks to its online verification solution in order to enhance quality and security.

NFC or “near-field communication” is a contactless technology that enables objects like payment cards, terminals, chip-based documents, and smartphones to communicate and exchange data wirelessly at a range of about 5 centimeters. Regulators are expected to permit NFC-based verification as an AML/KYC compliant onboarding option—just like FINMA did in 2021. Therefore, KYC providers are eager to offer NFC-based verification to their clients, and Sumsub is no exception.

Sumsub’s NFC-based verification solution can read and interact with NFC chips in compatible IDs and ePassports. It works on the mobile SDK (iOS, Android, native plugins) and is exclusively available to users with NFC readers on their mobile devices.

The feature is aimed at the increasing number of users with NFC-chipped ID documents. Over 150 countries including Australia, China, Canada, and the USA currently issue ePassports (aka ‘biometric passports’) with NFC chips—and the EU has mandated NFC chips for ID cards since 2004. Meanwhile, the majority of smartphones are NFC-enabled, which makes it much more feasible to remotely extract and verify personal information from compatible documents.

NFC verification is more secure than ordinary document checks since data is read directly from an NFC chip, which Sumsub estimates to result in 99% document authenticity. Personal data gets an additional layer of protection too, since users need to have their original document in hand to pass verification. In rare cases, NFC data can be hacked by highly skilled fraudsters, which is why Sumsub cross-checks NFC-submitted data with data extracted from ID photos.

NFC checks are not only safer, but easier to pass as well. The process is intuitive and takes users just two steps to complete: 1) taking a picture of their ID document and 2) tapping their NFC-enabled mobile phone against their ID.​​​ The check is faster for KYC providers too, since it’s easier to verify NFC-transmitted data than check document integrity separately. Businesses also benefit from NFC checks, since Sumsub’s mobile SDK can be smoothly integrated into their mobile app—allowing them to recognize and verify user data automatically.

According to a report by Market Research Future (MRFR), the NFC market will reach $30 billion by 2026, growing at a compound annual growth rate of 17%. To stay ahead of the curve, Sumsub plans to take initiative on NFC checks to keep helping businesses be safe and compliant.

 

About Sumsub

Sumsub is an international tech company that helps businesses onboard online clients and comply with AML/KYC regulations with AI-driven identity verification tools. It was founded by three brothers—Andrew, Jacob, and Peter Sever—and uses forensic anti-fraud software to make identity verification fast, secure, and transparent for clients.

Sumsub’s business model is based on adjusting verification & identification services to global compliance requirements.  Thanks to a strong in-house legal team, Sumsub has grown into a leader within this sector, helping businesses comply with regulations in more than 220 countries. The company’s  methodology follows FATF recommendations—the international standard for AML/CTF rules.

Sumsub offers an all-in-one, customizable solution that verifies users no matter their language or location—helping businesses scale to international markets faster and adhere to global compliance requirements more efficiently. The platform is easily adjustable and offers a wide range of solutions, from fully-automated identity verification to agent-assisted verification. 

Sumsub takes a risk-based approach and follows both global and local regulatory norms (FATF, FINMA, FCA, CySEC, MAS). All data is kept on Amazon GDPR-compliant servers, which are located in the EU. Overall responsibility for all data lies with the DPO (Data Protection Officer).