Virtual Asset Service Providers (VASPs) are under growing regulatory pressure in 2025, as authorities and banking partners demand the same standards of transparency seen in traditional finance.
The days of loosely structured onboarding and fragmented due diligence are over, with compliance now expected to be embedded, auditable and immediate.
KYC Portal CLM, a CDD and AML data collection and collation CLM platform, recently delved into AML compliance management for VASPS in 2025.
The shift has been accelerated by measures such as the FATF’s Travel Rule and the EU’s MiCA regulation, which impose stricter requirements on onboarding, reporting and record-keeping. Jurisdictions once seen as lenient are also tightening frameworks to avoid blacklisting. For compliance teams, this means increased pressure to identify beneficial owners, verify sources of funds, and conduct ongoing monitoring, often while relying on outdated or manual systems.
Traditional KYC models—static forms and periodic reviews—are no longer fit for purpose. Virtual asset clients are mobile, cross-border and complex, and regulators expect firms to prove compliance instantly. KYC is now about tracking evolving profiles and responding dynamically to changing risks.
This is where Client Lifecycle Management solutions like KYC Portal CLM are making an impact. Unlike standalone tools, KYC Portal offers an end-to-end framework covering onboarding, due diligence, monitoring, documentation and offboarding. Its no-code, rules-based design allows firms to adapt workflows and risk models quickly as regulations change.
With features such as dynamic data collection, structured reviews and full audit trails, KYCP enables compliance teams to act confidently and demonstrate accountability.
For more information about AML compliance management for VASPS, read the full story here.
Read the daily FinTech news
Copyright © 2025 FinTech Global
