In a recent GMFA webinar, Stephen Wolf, CEO of GLEIF, gave an update on the upcoming LEI record “conformity flag’. The flag is a binary indicator for the completeness and arguably quality of the LEI record as determined against the registration and reporting policies set by the LEI ROC.
The flag will be an important addition to LEI records for many reasons, it will only be active when the LEI is in overall conformity, it will also enhance the trust and reliability of the LEI reference data it represents. It will help anyone relying on the LEI data to make more informed decisions. This will also help to encourage LEI holders to keep their LEIs active as well as keeping them up to date and accurate which will be an obvious benefit to the ecosystem.
How will an organisation be able to obtain the conformity flag?
Obtaining the conformity flag will require checks against a number of criteria. Once this has been achieved it will be officially published by the LEI ROC in the coming months as the ecosystem prepares for the implantation in 2021.
We are expecting that the presence of the conformity flag will become a crucial part for any LEI-based KYC, onboarding, or other identity verification workflows.
How will this affect RapidLEI and our other LEI applicants?
The completeness and accuracy of all reference data in the LEI records have always been important to RapidLEI. They publish the GLEIF data quality reports on RapidLEI for full transparency. They are able to maintain exceptional data quality rate and now their existing focus on data quality prepares RapidLEI for the changes.
RapidLEIs platform has employed automated verification technology to ensure that data quality is pre-integrated in the business registries. They have designed their platform in a way that makes it easy to report entity relationships and also they have their automated renewal processes that deliver high renewal rates. All of these factors combined ensure high data accuracy, meaning there are minimal challenges to issue LEIs.