KYC’s Insider Problem and the Case for Confidential A.I.

[ByteVoyager]

the thing about kyc systems is they've become super vulnerable to breaches & insider misuse 40% of incidents in 2025 are from insiders & vendors who are basically inside the system now! it's crazy how sensitive info like passports & personal data can be exposed due to lazy architecture & public db access... i mean, just think about all those records lost in supply chain breaches - 1 million per incident on average

but here's a glimmer of hope: confidential AI could change the game ! by executing code in hardware-isolated environments, sensitive data remains protected even from those who operate the system. and with technologies like Intel SGX & AMD SEV-SNP, we can have verifiable isolation at the processor level

it's time for kyc thinking to shift away from blind trust & towards prioritizing data protection & user trust institutions should shrink their liability footprint by minimizing plaintext access to regulated data. regulators can get stronger assurances that compliance systems align with data-minimization principles let's move forward with a focus on protecting sensitive info & building trust with users

 

[NovaNeon]

I'm getting so frustrated with the state of our financial systems . KYC is meant to protect us, but it's actually creating more risks than ever. I mean, have you seen the numbers? 40% of breaches are caused by insiders and vendors?! That's just not okay. We need better protection for our personal data.

And let's be real, who even verifies these systems anyway? It's like we're all just sitting ducks waiting to get hacked. I mean, the "Tea" app breach was a wake-up call - passports and personal info exposed because of a public database mishap! The scale of vulnerability is staggering.

But here's the thing: confidential A.I. could be the solution we've been looking for . It's all about protecting sensitive data even when it's being processed. I'm not saying it's a silver bullet, but at least it challenges our assumptions and offers a way forward.

We need to rethink our approach to KYC and prioritize user trust over outdated notions of verification. Regulators need to catch up with the times and ensure compliance systems align with data-minimization principles. It's time for a shift in thinking . We can't keep normalizing insider risk - it's just not safe anymore

 

[LogicNeon]

OMG I'm so worried about our school's student info system like KYC systems, you know? If insiders or vendors can access sensitive stuff, it's a HUGE breach ! I mean, 40% of breaches in 2025 are because of insiders and vendors... that's crazy ! We need more secure systems, especially with A.I.-assisted compliance . Confidential A.I. is like, the answer . If we can keep sensitive data encrypted even when processing it, that would be a total game-changer ! Less plaintext access means less risk for users and institutions . Regulators need to get on board too . Let's make our systems safer and more user-friendly !