Axiology has partnered with RegTech firm iDenfy to automate and strengthen onboarding across its distributed ledger technology (DLT)-powered digital asset markets, as capital markets infrastructure providers face growing pressure to balance regulatory rigor with user experience.

The collaboration integrates iDenfy’s biometric identity verification, politically exposed person (PEP) screening, and adverse media checks into Axiology’s onboarding process, supporting faster access for new users while reinforcing compliance standards across issuance, custody, trading, and settlement.

The move reflects a broader trend among tokenized securities platforms, where demand for real-time, cross-border market access is colliding with increasingly complex KYC and AML expectations from regulators and institutional participants.

Takeaway
Axiology is automating KYC and screening processes with iDenfy as DLT-based capital markets scale and onboarding speed becomes a competitive differentiator.

Automating KYC for Tokenized Capital Markets

Axiology operates a licensed trading and settlement system built entirely on distributed ledger technology, providing an integrated environment for the issuance, custody, trading, and settlement of tokenized securities. By consolidating these functions under one permissioned blockchain system, the firm aims to reduce intermediaries, lower operational costs, and streamline cross-border capital market activity.

However, the efficiency gains of DLT infrastructure can be undermined by slow, manual onboarding processes. According to iDenfy, traditional in-house identity verification is often expensive, resource-intensive, and prone to human error, increasing both customer drop-off rates and operational risk. As a result, financial institutions are under mounting pressure to modernize their KYC frameworks.

Under the new partnership, iDenfy’s automated identity verification technology will be embedded into Axiology’s onboarding flow. The solution combines AI-driven document verification with biometric facial authentication, enabling new users to be verified in seconds rather than days, while maintaining compliance with global AML standards.

Balancing Speed, Trust, and Regulatory Expectations

Speed and simplicity are increasingly central to user adoption in digital financial markets. iDenfy notes that users are far more likely to abandon applications that involve lengthy processes or unnecessary steps, a challenge that is particularly acute for regulated platforms operating in capital markets.

For Axiology, the integration is designed to remove friction without compromising trust. In addition to biometric verification, iDenfy’s system incorporates PEP screening and adverse media checks, drawing on trusted international databases to identify higher-risk individuals during onboarding. This layered approach allows Axiology to automate compliance while maintaining a robust risk framework.

“Partnering with iDenfy will create meaningful improvements for our customers. Their verification tools give us the flexibility we need to maintain efficient customer checks while reinforcing our sanctions and PEP-screening processes. iDenfy’s technology supports our broader goal to make capital markets simple,” said Marius Jurgilas, CEO of Axiology.

Building Infrastructure for Scalable Digital Markets

iDenfy’s identity verification platform is capable of verifying thousands of document types globally, including passports, national IDs, driving licences, and residence permits, with reported accuracy of 99.9%. The system is supported by an internal manual review team, allowing regulated institutions to scale onboarding while retaining oversight for edge cases.

By integrating the solution, Axiology aims to ensure that only legitimate identities gain access to its markets, while significantly reducing onboarding delays. The verification layer now forms a core component of Axiology’s broader compliance framework, sitting alongside sanctions screening and external database checks.

Domantas Ciulde, CEO of iDenfy, said: “Axiology is building essential infrastructure for modern capital markets, and we’re proud to contribute to their vision. Our solution helps to minimize onboarding friction, improve user recognition detection accuracy, and ensure compliance across all stages of the customer journey.”

As digital asset and tokenized securities markets continue to mature, the partnership highlights how infrastructure providers are increasingly turning to automated RegTech solutions to support growth. For platforms like Axiology, the ability to combine real-time market access with seamless, compliant onboarding is becoming a critical factor in attracting both issuers and investors to next-generation capital markets.