Also known as: ID Verification, Identity Document Verification, KYC ID Check
Proof of Identity (POI) is the regulatory step where a client uploads a valid government-issued photo ID — passport, national ID card, or driver's licence — so a broker can confirm they are a real, legally identifiable person before activating a live trading account. It is the identity half of Know Your Customer (KYC).
POI exists because retail-brokerage firms sit inside anti-money-laundering (AML) law. Regulators such as the FCA, CySEC, and ASIC require every regulated broker to verify who is behind an account before it can be funded or traded. The document proves name, date of birth, and photo likeness; many brokers now pair it with a live selfie or short video (a "liveness" check) so the face on the ID matches the person submitting it.
In practice the numbers matter to a partner's funnel. Automated verification providers approve a clean passport photo in seconds, but a blurry image, a cropped corner, or an expired document pushes the file into manual review that can take 24–72 hours. Industry onboarding data routinely shows double-digit percentages of first-time uploads getting rejected, and every rejection is a point where a referred lead can abandon the account.
For an Introducing Broker, POI is therefore not a back-office detail — it is a conversion gate. A referred trader who never clears POI is never funded, never trades a lot, and never generates a cent of commission or revenue share, no matter how strong the original marketing was.
When a referred client reaches the verification screen, the broker's KYC engine ingests the uploaded ID and runs it through document-authentication software (Sumsub, Onfido, Jumio, or an equivalent). The software checks the document type, reads the machine-readable zone, confirms the expiry date, and scores the image for tampering or glare.
If the file passes and the optional selfie matches, the account flips to verified automatically — often in under a minute. If any check fails, the case is queued for a human compliance officer, who either approves it or emails the client for a re-upload. Only after POI (and usually Proof of Residence) clears can the client deposit and trade, which is the moment the IB's tracking link starts producing billable volume.
After registering via the IB's link, the referred trader is prompted to verify identity before funding.
The client submits a clear, in-date passport, national ID, or driver's licence, often with a live selfie.
KYC software reads the document, checks expiry and authenticity, and matches the selfie to the photo.
Clean files verify instantly; flagged files go to a compliance officer for a 24-72 hour decision.
Once POI clears, the client can deposit and trade, and the IB's commission clock starts.
Why it matters for partnership: POI is the gate between a lead and a funded, commission-generating client. IBs who coach referrals through a clean first upload cut manual-review drop-off and turn more marketing spend into activated accounts.
You run traffic to an IC Markets sign-up page and 500 leads register in a month. IC Markets uses automated document checks, but roughly 15% of first uploads are rejected for glare or a cut-off corner. By adding a 30-second "how to photograph your passport" clip to your welcome email, you recover a chunk of those 75 stalled accounts — each recovered client who then trades 10 lots a month adds real, recurring commission to your payout.
| Check | What it proves | Typical document |
|---|---|---|
| Proof of Identity (POI) | Who you are | Passport, ID card, licence |
| Proof of Residence (POR) | Where you live | Utility bill, bank statement |
Send new referrals a one-page POI checklist — full frame, all four corners visible, no glare, document in date — before they hit the upload screen, because a first-attempt approval is the difference between a same-day trader and a lost lead.
Uploading a blurry, cropped, or expired ID sends the file into manual review, delaying activation by days and giving the referred client time to lose interest and never fund the account.
A current, government-issued photo ID — most commonly a passport, national ID card, or driver's licence. The document must be in date and show your full name, date of birth, and photo.
A clean upload processed by automated software can verify in seconds. If the image is flagged or reviewed by a human, it typically takes 24 to 72 hours.
The most common reasons are glare, blur, a cropped corner, or an expired document. Re-photograph the full document flat, in good light, with all four corners visible.
POI is one part of KYC. Full KYC usually combines Proof of Identity with Proof of Residence and sometimes source-of-funds checks, all required under anti-money-laundering rules.
Many brokers now require a live selfie or short video so the face matches the ID photo. This liveness check helps prevent fraud and speeds up automated approval.
No. POI must be completed by the client directly with the broker for compliance reasons. An IB can only guide the client on how to submit correct documents.