iDenfy Introduces SMS and Email Verification to Strengthen KYC Onboarding Security

iDenfy, a Lithuania-based identity verification, compliance, and fraud prevention company, has launched new SMS and Email verification tools to enhance its industry-leading Know Your Customer (KYC) software. The features add an additional layer of protection at the earliest stage of onboarding, designed to combat issues such as forged identities, fake contact information, and multiple account creation.

The verification tools integrate directly into the standard identity verification workflow. Before completing document or biometric verification, users must confirm their contact details by entering a one-time code sent to their registered phone number or email. This additional authentication checkpoint ensures that each applicant’s contact information is valid, helping businesses filter out suspicious users before granting access to high-risk platforms like crypto exchanges or payment apps.

According to Viktor Vostrikov, CMO at iDenfy, demand for this feature has surged in industries handling financial transactions and sensitive data. “We noticed our partners asking for simple, familiar authentication methods that would increase security without complicating the ID verification process. This new built-in measure delivers exactly that—an efficient layer of defense without compromising user experience.”

Takeaway

The process is straightforward: users input their contact details, receive a one-time verification code via SMS or email, and confirm ownership by entering it into iDenfy’s secure system. This not only ensures that the contact data is authentic but also allows iDenfy’s algorithms to detect inconsistencies or repetition that may indicate potential fraud. Invalid phone numbers, reused emails, or patterns tied to known fraudulent behavior are flagged immediately, enabling businesses to take preemptive action.

Beyond deterring low-level fraud, this system helps guard against more advanced threats like account takeovers and multi-accounting abuse. Fraudsters attempting to bypass verification using stolen or fake credentials can be intercepted long before sensitive stages like ID document checks or financial transactions occur. This capability is especially valuable for sectors such as iGaming, fintech, and digital asset platforms, where multiple account creation and referral exploitation are persistent risks.

“Trust begins with accurate data,” said Domantas Ciulde, CEO of iDenfy. “Our solution acts as an early checkpoint, filtering out fraudulent users before they even begin the onboarding process. By verifying emails and phone numbers upfront, we help businesses eliminate fake profiles, minimize risk, and protect the integrity of their platforms from the very first interaction.”

Takeaway

The new tools are fully integrated into iDenfy’s KYC ecosystem and can be used alongside features like face biometrics, liveness detection, document authentication, and risk scoring. This modular approach allows clients to build layered, risk-based verification systems tailored to their regulatory and operational needs. The solution also supports real-time data validation and instant feedback on user authenticity, improving both compliance efficiency and customer experience.

As identity fraud continues to rise globally—the U.S. Federal Trade Commission reports $12.5 billion in consumer losses to fraud in 2024, up 25% year-over-year—iDenfy’s innovations arrive at a critical time. Many of these cases begin with unverifiable or fake contact information, highlighting the growing need for early-stage verification methods that strengthen digital trust without adding friction.

With its new verification layer, iDenfy is redefining the KYC standard by turning familiar, simple tools like SMS and email into powerful fraud deterrents—ensuring that trust and compliance begin at the very first step of customer onboarding.

Takeaway