Bitcoin Forum

Recently, there are lots of company doing KYC for ICO.
However, it is kind of akward that doing KYC on blockchain technology.
Do you think is it neccessary to do KYC for ICO??
Plz share your opinion.

Depending on the country where you start your business you have different rules.
Tenx invested ~100k USD into research of local law to build a solid base for their ICO.
I think this is necessary before you start an ICO.

I heard, that in the European Union you have to do KYC if people are investing with fiat - if they invest in crypto currency then you don’t have to do KYC.

From this article here: https://flagtheory.com/successful-initial-coin-offering/
You might wanna do it anyways depending on the country of operation.

It depends on the ICO's legal jurisdiction.

In some places you do, in some you don't.

That's why we chose Saint Vincent and the Grenadines to launch the ICO, to make it easier for the investors.

Afterwards, our operations will move to an additional jurisdiction on purpose so we can get regulation for our project but that will be unrelated to the ICO investors.

So it depends on how you want to set it up (as the company) and what the plans are.

Kyc is necessary to prevent dirty money (ie money that is the proceeds of crime) from entering the financial system, to prevent funding going to terrorist organizations and to prevent funding going to people on sanctions lists. It doesn’t matter if it’s a security or not. Even banks have to do kyc when you open a plain vanilla bank account at least in the usa, eu,Canada.

I do think it’s necessary because I’m really tired of global terrorism and terrorists can’t carry out their acts if they have no access to money.

Why is it awkward to do kyc on an ico?

What ico have kyc?

Completely depends on the country you're situated, since they might be heavily regulated which is the reasoning for the KYC.

It is very good that if ICO asks KYC but that is for fiat currency investment only but even if you are investing heavy investment in ICO through cryptocurrency also you need to fullfil the KYC documents. But in this process we cannot say that if the ICO created are scammers then they can use your documents for forging also. and the main point of cryptocurrency success was to not give any identification documents to reveal the identity.

Yes of course. Wont escape AML and KYC.
It is just a question of time.

Governments wont accept black money - never.

KYC makes the ICO more legit and easier to list on bigger exchanges.

I think that's necessary. The more the ICO KYC registration the more legal status it will gain in the social network which is now getting important because of today's untrusted factor of ICO projects. If they are doing the KYC that means they are bound by some sort of law and they have to show their every transaction to the government which means our money is being put into safe hands. This is pretty amazing as we could trust these ICO more and invest into them with free mind.

It completely depends upon where those ICO were based on and as recent changes in legality of ICO in many countries like china and korea, it is quite mandatory for all of the project to have kyc policy in place to get rid of any legal issues in future.

For most of the ICO's, american citizens cannot participate in them and to keep them away these ICO's are asking for KYC. If you are a american and want to buy into ICO, I suggest you should use VPN. Why buy them from exchanges at a higher price. On the other hand, for most tokens, prices are going below the point at which the token was sold during ICO. So just be careful on what you buy!

It is just an issue of trust, because most of the developers do not trust those investors, they will have protect themselves from all these various government agencies in case of future legal issue

I think it depends on where you will start your company and ico. usa, switzerland or singapore? I see regulated projects use different kind of methods for kyc requirements so it depends on laws

LYMPO want to have KYC. what can we do ?

JOIN THE LYMPO TOKEN SALE NOW

Know your customer ('KYC') is the process of a business identifying and verifying the identity of its clients. It is vital for Lympo to comply with the regulations by various financial institutions in order to build a successful company. Please take a look at our token sale terms and conditions as well. Have your passport and your proof of address with your name on it ready!

Dear Lympo supporter,

This is a reminder about our airdrop for Lympo pre-sale participants!

Don’t forget to do your KYC here until February 28: https://lym.finpass.eu/.

Actually, KYC is not a big deal anymore I guess. Day by day scammers and spammers are increasing incredibly in ICO project. That's why ICO projects is trying to find out those scammers, This is just my opinion though, Besides this, There are some rules about it like If someone want to participate in ICO who lies in European resident then he must do KYC.

ICO is banned in some countries, so KYC is needed to prove you aren't from those countries.

and when the team from the ICO after ICO runs away and sells the data? And then buy weapons or drugs with your ID card. And two days later the police will ring the bell? What do you do then ? Big eyes ??

 :'(
If that's necessary then it's fine for me because I didn't hiding on any hoods because I am a simple guy with no criminal records in local and international.
If they require our identity information before investing then so be it but one thing they should do, that they're going to keep the records only on their vault and not be going expose to anyone else or any organization that might find useful for their advantage.
Our identity should remain private together with our Crypto Assets to keep ourselves away from future scams and frauds.

Check out the post on sending in a fake id for KYC.  Just eliminate the entire issue.  It appears most of the people sending in documents are sending in fakes and they are flying right through.  Just don't be the sucker (like me) sending your real information to unknown sources.  Every govt official and scammer prob have my passport now.  I'm very upset that everyone was using fake documents and I sent real ones.  It appears only the suckers actually sent the real stuff in.

Personally I don't care if I have to do KYC for investing in ICO.. I have nothing to hide but if I were people that can't partecipate because of this I would be quite upset.....

but regulation is necessary in this world if we want to develop and expand even more...

That is definitely not a reason.
Few countries have banned ICO's and with KYC it is easy to check if participant is from restricted countries. All other reasons are nonsense.
Can you explain how to buy drugs with ID card? Drug dealers are asking for ID verification or something?
Your ID can be abused in many ways but not for buying drugs or weapons. I have never heard drug dealers or illegal weapon seller are asking for ID's , their business is already illegal.

For the ICO investors that is very needed,so these ICO founders would be sure that they are complying the SEC's regulation that doesnt allow U.S citizens to participate in any ICOs,for the investors this is a good thing because they will know that the project isnt a scam,legitimate ICOs will require you to undergo with KYC verifications,most of the scam ICOs doesnt require KYC verification so you know the pros of having KYC.

It's certainly not smart, we lose confidentiality. But on the other hand, the developers of the project want to make sure that they send their tokens not to a fictional person, but to a real one. At the same time, they are fighting terrorism and fraud.

Well if they ask for that then it's necessary. Nothing scary in it, just send them your driver license or something like that.

In fact, this is a very controversial issue, because it turns out that the crypto currency is beginning to be legalized in this way, but since they require verification of investors, then let the developers be fully verified, but somehow it's not fair.

You must be careful sending your id, and take precautions (eg ID-fraud)
- Only provide the information which are relevant.
- Mask details which are unnecessary to know (eg your social security number).
- Describe on the copy of your ID: It is a copy, the date, the reason of the copy


In the Netherlands you have guidelines from the authorities how to copy your ID in a  safe way:

https://www.rijksoverheid.nl/onderwerpen/identiteitsfraude/vraag-en-antwoord/fraude-voorkomen-met-kopie-id-bewijs

I am sure other countries have the same guidelines, check it first before you copy and send your ID!

For me personally this is problematic. I do not like superfluous red tape. All these registrations .. only spend time. But I think it's for the best. All the same, there must be certain guarantees.

With the huge amounts of money involved in crypto and ICOs nowadays, it is getting more and more difficult not to do KYC. When it was all small, the rules weren't strictly enforced yet as it was not worth the effort. Nowadays, this has changed and it is worth it for governments to put effort into enforcing the KYC laws to prevent money laundring.

To me it is actually one of the reasons not to join ICOs anymore. Not because I don't want to comply to KYC, but because I don't want to hand my information to unkown and unproven parties.

If the country's legislation requires ICO to conduct KYC, there is no choice in this company. It can only register for the conduct in a country that does not require such verification. However, this applies to investors. How, then, should we look at ICO companies that require such a check in the participants of the signature campaign? Here the meaning disappears, since the campaigners of the signature do not invest their money. Therefore, I am absolutely against the fact that the participants of the signature campaign, like the other participants in the campaign of generosity, passed KYC.

actually KYC verification is aimed at legal provisions within the ico developer country. yes, we are always required to verify this kind of like KYC, because many ico now make payments like credit cards.
for that purpose, KYC verification is currently always present in every campaign

it depends on the marketing policy of a particular ICO. However, in my opinion, this procedure is mandatory for large investors. This should be done to prevent token speculation and market manipulation.  8)

What do you think?

ICOs are just complying to U.S's SEC that is why most of the new ICOs are requiring most of the invest to undergo KYC Verification so they could identify those investors from restricted countries like U.S and China that arent allowed to join any of these ICOs.Its for their own protection,so you can be sure that your ICO investment wont be end up to scams,ICO KYC is acceptable but bounty hunters shouldnt undergo with this verification because we arent investors.

If there are limited quotas or the ICO is oversubscribed, yes, it is required. The thing is that many times is just done without much justification, just to exclude US residents really.

I know not everyone is happy about KYC and some people don’t agree with it ideologically, especially when it comes to cryptocurrencies, where transfers are anonymous, or at least pseudo anonymous. However, for serious companies that hold an ICO to be a legitimate partner to public bodies and large companies — or even just to their bank — they need to be sure that the sources of all funds raised in their token sale are legitimate. No funds can come from illicit sources, people under sanctions, or organizations with terroristic links. I know not people agree with this, but KYC will be more and more present while the crypto market further matures.

Okay and to be fair there is nothing wrong with them doing that, but what if we flip the script? I want to make sure the organization I am handing my funds to is not terrorist or malcious in any way, would they agree to a reverse KYC? I think not, and that is the bigger problem at play here.

It's as simple as it is, but your data sail into the Internet and you do not even know whose hands it is, but if the project is scam, they asked for your data!
Even scary to imagine what can be beat if this information gets into the wrong hands!

Yes, it’s necessary to prevent money laundering and accordance with the laws of each country

An interesting question that really requires a lot of thinking. If you could see at least those lines of the law that someone had entered there, then you can talk about it. Nobody has yet seen any lines and no law, just only words.

i'm not sure about KYC verification. I'm worried about this data. some ICO must verify KYC with passport, and you know the passport is the most important data person around the world. how about if these data that used to money laundry? how do you think about this?

In many projects, you will not be able to participate if you do not pass KYC.
This is to prevent money laundering

I also have the same opinion with you, because I feel less agree if giving personal data to people we do not even know

Of course because the SEC's regulation prohibited u.s citizens from joining any of these ICOs.,and if these ICOs accepted u.s citizens there will be a conflict and it wont be a hassle for them because the SEC will sue them,i have seen a lot of ICOs that was cancelled because a lot of u.s citizens have joined their ICOs even they got warning from not accepting u.s citizens.

Many ICOs want KYC verificarion lately. I'm not sure if they are trustable. And some of them don't even give enough infomation about how do they handle verifications.