Identity Verification (IDV) Meaning

The process of ensuring that a user provides information that is associated with the identity of a real, verifiable person. This typically involves submitting government-issued identification, such as a passport or driver's license, often accompanied by biometric data like a facial scan or a "liveness check." IDV is the technical backbone of Know Your Customer (KYC) and Anti-Money Laundering (AML) compliance.

It allows platforms to verify that they are not facilitating transactions for sanctioned individuals or criminal entities. Modern IDV providers use AI to detect forgeries and deepfakes in real-time.

As privacy concerns grow, new methods of IDV are being developed that utilize zero-knowledge proofs.

These allow a user to prove they have a verified identity or meet certain criteria (like being over 18) without actually sharing their sensitive personal documents with the platform, balancing regulatory compliance with data sovereignty.