From IDV to IDA - Identity Verification 2.0: Beyond IDC MarketScape

This IDC Perspective details how financial institutions are reaching the limits of point-in-time identity verification as AI becomes embedded across customer engagement, decisioning, and operational workflows. Identity signals are no longer consumed once at onboarding but reused continuously across the life cycle by generative, interpretive, and predictive models. As AI maturity accelerates faster than underlying control frameworks, weaknesses in identity foundations scale into measurable business friction, decision errors, and operational risk. Identity assurance reframes identity as shared infrastructure that supports digital growth while preserving traceability, explainability, and regulatory defensibility. It shifts identity from a compliance checkpoint to an operational asset that aligns AI-enabled execution with consistent control outcomes across the institution."Identity is no longer a gate at onboarding," says Sam Abadir, research director for Risk, Compliance, and Financial Crime, IDC. "In AI-enabled financial services, it becomes a continuous signal that underpins growth, automation, and control. Institutions that treat identity as static will find their analytics and AI moving faster than the trust layer they depend on."