On Oct. 31, Binance announced a partnership with Amazon Web Services (AWS) to incorporate Amazon’s generative artificial intelligence (AI) technology to improve its Know Your Customer (KYC) verification process and customer service functions. The new AI-powered KYC system automates user information filling, conducts proof-of-address checks, and performs World-Check reviews to streamline Binance’s compliance and user experience.With the AI integration, Binance reported a 95% increase in user data recognition accuracy, an 80% reduction in optical character recognition (OCR) costs, a 6% rise in proof-of-address approvals across 107 jurisdictions, and a 30% decrease in the time required to screen the World-Check database. This efficiency boost addresses long-standing KYC verification challenges, making the process more cost-effective and user-friendly.Rohit Wad, Binance’s CTO, hinted at expanded AWS collaborations in areas such as customer service, compliance, and risk management: “We plan to extend our use of AWS’ generative AI technologies and cloud services across various domains."Changpeng Zhao: Regulatory Outlook for Crypto Turning PositiveBinance’s compliance push aligns with what founder Changpeng Zhao perceives as a shift in the regulatory climate, especially in the United States. Zhao highlighted supportive comments from former President Donald Trump during the 2024 Bitcoin conference in Nashville as a promising sign. He also noted bipartisan interest in crypto from U.S. lawmakers, suggesting increased regulatory acceptance.This shift is evident in the recent developments in Nigeria, where Binance executive Tigran Gambaryan was released from custody after seven months. Gambaryan, detained in February 2024 on charges related to money laundering and tax evasion, had all remaining charges dropped by October.With this AWS partnership, Binance underscores its commitment to enhanced compliance and regulatory cooperation, as global attitudes toward cryptocurrency evolve.
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