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BCB uses a risk-based reliance model to onboard Corporate Clients into the VAS platform. This model ensures that reliance on a Corporate Client’s own AML/KYC program is only permitted once rigorous due diligence has been performed and contractual agreements are in place.


Why a Risk-Based Model?

  • Mitigates BCB risk by ensuring Corporate Clients maintain robust AML/KYC practices.
  • Enables efficiency & scalability by leveraging clients’ existing compliance programs.
  • Supports ongoing compliance through scheduled and trigger-based independent reviews.
  • Standards enforcement: Client programs must meet RFI requirements. Where Bermuda regulation is less strict, BCB’s standards prevail.

The Onboarding Journey

The reliance model follows a structured onboarding flow:

  1. Corporate Client VAS Demand Queue

    • Incoming client interest is added to a demand queue.
  2. VAS Expression of Interest

    • Client formally expresses interest in the VAS program.
  3. Client Risk Questionnaire (risk rating)

    • Client completes a risk self-assessment.
    • Used to calculate an initial AML/KYC risk rating.
  4. Independent AML/KYC Assessment (as needed)

    • Performed where risk level or information gaps require independent validation.
    • Scope may include audit methodology, sampling, and testing plans.
  5. VAS Client Agreement

    • Formal contractual agreement between BCB and the Corporate Client.
    • Establishes reliance terms for AML/KYC responsibilities.
  6. Ongoing Independent AML/KYC Assessments

    • Conducted at regular intervals, with frequency based on client risk profile.
    • May also be triggered outside scheduled reviews.
    • Ensures client AML/KYC practices remain compliant and enforceable.