- 1FundKite will accept watermarked submissions only if they match the originating broker.
- 2Aquamark's tamper-resistant stamps trace documents back to the source if they reach third parties.
- 3FundKite will encourage brokers who are not yet watermarking to use Aquamark.
FundKite is making broker watermarking part of its submission policy through a partnership with Aquamark, a defensive watermarking company.
How the policy works
Aquamark lets brokers stamp documents in a tamper-resistant way that marks them as coming from the broker. If a stamped document reaches an unauthorized third party, the watermark reveals its original source.
With watermarked submissions on the rise, FundKite will accept them only if the watermark matches the originating broker. It will also encourage brokers not already using Aquamark to adopt it.
Why FundKite is doing it
FundKite CEO Alex Shvarts said the company wants assurance that documents come from the ISO submitting them and were not backdoored, which he called a major industry issue. "We encourage all our ISO partners to watermark their submissions for this reason," he said, describing Aquamark's process as seamless and inexpensive and saying FundKite tested it and strongly recommends it.
Aquamark founder Christina Duncan said brokers are fed up with deal theft and increasingly aware of how critical compliance will be over the next 12 to 24 months. She credited FundKite with tackling the problem, saying it lowers risk, builds trust and helps keep the industry honest as it develops.
Source reporting: deBanked.
