Decisions you can defend: Rethinking KYC in the age of agents

In the evolving landscape of financial regulation, rethinking Know Your Customer (KYC) protocols is crucial, especially with the rise of agents facilitating transactions. This article argues that focusing on the decision-making process, rather than the models or data used, provides a more robust defense against regulatory scrutiny. As financial services adapt to these changes, emphasizing transparency and accountability in decision-making will be key to maintaining compliance and trust in an increasingly complex environment. This shift underscores the importance of accountability in financial systems, which is essential for both regulatory compliance and consumer protection.