a16z Authors Say U.S. Law Can Accommodate Reusable KYC

Andreessen Horowitz (a16z) authors say U.S. law can accommodate reusable identity checks for onchain finance, a model they say could reduce repeated verification while keeping compliance duties with banks. Maggie Hsu, a16z’s head of go-to-market, and Michele Korver, its head of regulatory, set out the proposal in an Oct. 12 essay. They describe reusable know-your-customer (KYC) checks in which a provider verifies a customer and issues a digitally signed credential for use with other applications. A zero-knowledge proof could confirm a requested detail without revealing the full identity file. The authors also discuss credentials linked to wallets and compliance controls built into token contracts. “Institutions do not want to avoid KYC; they want to avoid redundant KYC,” Hsu and Korver wrote.

BeCrypto News shows a short excerpt and links to the publisher. The full report belongs to TokenPost.