On Oct. 31, Binance announced a collaboration with Amazon Web Services (AWS) to enhance its Know Your Customer (KYC) verification and handle service requests more effectively through Amazon’s generative artificial intelligence.
According to the announcement, the new KYC system will now automatically complete user information fields, perform proof-of-address checks, and streamline screening against World-Check reviews. Binance claims the AI integration has boosted recognition rates for user data to 95%, cut costs for optical character recognition by 80%, raised proof-of-address approval rates across 107 jurisdictions by 6%, and shortened the time spent screening against the World-Check database by 30%.
Binance’s Chief Technology Officer, Rohit Wad, indicated plans for broader integration of Amazon’s services, saying, “[W]e plan to extend our use of AWS’ generative AI technologies and cloud services across various domains, including customer service, compliance, and risk management.”
The partnership comes as Binance ramps up compliance measures amid regulatory challenges. However, Binance founder Changpeng Zhao remains optimistic, sensing a positive shift in the regulatory landscape, particularly in the United States.
Speaking at Binance Blockchain Week in Dubai, Zhao, who stepped down as CEO last November, remarked that crypto regulations are “moving in a very positive direction.” He cited former President Donald Trump’s recent pro-crypto statements at the 2024 Bitcoin Conference in Nashville and the growing bipartisan support for crypto among U.S. lawmakers as positive signs.
This regulatory shift was also evident in the recent release of Binance executive Tigran Gambaryan, who was held by Nigerian authorities for about seven months. Gambaryan, arrested in February 2024 on money laundering and tax evasion allegations, saw some charges dropped in June, with the remaining charges dismissed on Oct. 23.
This AI initiative and regulatory developments signal Binance’s continued commitment to compliance and growth in a rapidly evolving crypto landscape.