Embedded Finance Startup Kernolab Partners with Ondato for KYC and Compliance Boost

  • Compliance
  • 22.06.2022 12:20 pm

Kernolab, the Vilnius-based fintech startup that focuses on helping businesses drive value through embedded finance solutions, is partnering with Ondato for all KYC compliance capabilities. The partnership comes as Kernolab prepares to make inroads in the booming marketplaces vertical, where merchant onboarding is heavily reliant on smooth KYC and compliance checks. Kernolab can now offer business clients and end-users an embedded finance solution with a fully integrated KYC compliance platform built-in, unlocking a tremendous amount of revenue opportunities.

Kernolab’s first important test case comes with its embedded finance solution being leveraged for Tokitus, an online platform for finding therapists; the compliance landscape within any medical services environment is particularly tricky. In addition to providing Tokitus’ payments and billing back-end, Kernolab is now also able to offer an integrated KYC compliance feature stack. Therapists in general have a unique and challenging set of compliance checks, especially so for a platform like Tokitus, which operates in 15 different languages across a spectrum of 11 different therapy types. 

Ondato for its part is getting an important test case in which it can challenge, refine, and expand its KYC compliance platform. As the demand for therapy and related services continues to rise, the need for flexible and responsive platforms is clearly mandated. Platforms will succeed by offering end-users a trustworthy and secure experience but also by making it easy for service providers to put their hats in the ring. The new Ondato OS defines a new technology category that integrates all the KYC, KYB and AML tools and services needed by online businesses to onboard customers quickly and safely, provide a deep level of monitoring and due diligence, and stay up to date with clients’ lifecycle management. Given the growing number of myriad marketplace platforms – in health services and a wide array of other verticals – the marriage of embedded finance with compliance services is proving to be an important one. 

“We are very pleased to be partnering with Kernolab,” said Liudas, CEO and co-founder of Ondato. “Our contention from the beginning has been that we help businesses realize the fact that KYC compliance can be a driver of new revenue growth when it’s done right, rather than a drain on resources. In the case of Kernolab, the business benefit is very clear as they move into the marketplace vertical. Together, we are literally making new kinds of business a reality.” 

“One of the biggest challenges for businesses like marketplaces is onboarding and verifying new customers as well as staying compliant over time and across geographies,” said Vachtangas Babunasvili, CEO and co-founder of Kernolab. “Ondato can provide not just flexibility and agility with these processes, but also the robust security and validation that they’ve built their reputation on. Not every business is going to be a fintech. But many businesses will be able to find new revenue streams by incorporating financial products and services into their core offering. Amongst that group of businesses, the ability to quickly and effectively integrate KYC, AML and other important compliance checks into those offerings will be another important aspect. We believe this new partnership with Ondato will be very fruitful for both parties.” 

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