FINMA Partially Revises Video and Online Identification Rules

The Swiss Financial Market Supervisory Authority (FINMA) has partially revised its practice in Circular 2016/7 “Video and online identification”, the regulator said. The changes will come into force on 1 November 2026.

Circular 2016/7 sets out FINMA’s practice regarding due diligence obligations for client onboarding via digital channels. The partial revision takes account of technological developments, particularly the Federal Act on Electronic Identity Credentials and Other Electronic Credentials (E-ID Act), which is due to come into force, and the associated introduction of electronic identity credentials (e-ID). Under the revised circular, the e-ID can be used for identification purposes when onboarding clients via digital channels under the Anti-Money Laundering Act (AMLA).

In addition to other selective adjustments, identification documents bearing a QR code, such as the Swiss driving licence, will be treated as equivalent to those with a machine-readable zone (MRZ).

A public consultation was held on the partial revision. FINMA said it took into account several concerns raised during the consultation and implemented them in the circular. Specifically, liveness detection is now to be introduced as an additional security measure for online identification, in order to address the growing risks associated with new technologies, particularly in the field of artificial intelligence. Furthermore, digital processes that reliably link the contracting party and its infrastructure to a place of residence are permitted for the purposes of place of residence verification as part of the online identification process.