Bitcoin Forum

Today December 4th 2020 Bitmax exchange have announced to stop providing services to non verified users, no more withdrawal limit for not verified users, I'm guessing if every other crypto exchanges will follow this, binance for example, I use this exchange with out KYC verifications, for someone like myself who don't want to give any centralized platforms my ID i may have no choice let, what do you think?


https://blog.bitmex.com/deadline-passes-for-bitmex-accelerated-user-verification-programme/

I'm not against a KYC as centralized exchange would require them to keep their business but they (and the CIA) should change how the KYC is collected. Gathering users passport and bank statement is a disaster as they are always leaked and their identity sold on black market. They should rather go for a video verification with any sort of ID so that no other could easily fake the identity. Even fingerprint verification could be easily achieved when almost every of the people have that sensor in their phone.

I have been participating in some IEOs and i have verified my identity on the site that I wanna participate in. KYC will be mandatory for all of the users but this is not the point. Some exchange sites were still giving the daily WD limit for the new accounts. It's not too much but I thought that if that's enough to make people will be able to send up to 50k in a day.

It becomes harder to buy crypto anonymously from day to day. The solution - switch to DEX. As I usually buy coins on Bitfinex via Ownr, I'm not afraid of KYC.

I don't think this will happen on all exchanges on the Crypto market. The reason this happened is because Bitmex was once caught by the SEC and they are starting to make it difficult for Bitmex because the manipulation in Bitmex was too big. So to be safe, everyone must provide KYC so that the SEC can more easily control.
So don't worry, there will never be KYC required on exchanges. Because this is something that any user really hate and they are willing to give up that exchange to use another exchange service.

If you really don't want to provide your KYC to any exchange then Centralized Exchange is not for you even though Binance is not requiring KYC for a certain limit, They will still ask it for you if you encounter any problem on your account, Actually KYC can be helpful in case you loss your account and you want to recover. It will be your best proof to claim it.


There's always a Decentralized exchange and P2P exchange as an alternative in case all CEX decided to mandatory ask for KYC and its really possible in the future especially if all exchange are already regulated.

You can't open open an account in bank without providing your details, It's same scenario on Centralized exchange because they are both Centralized and needs to be regulate.

I also think so.  Even the FATF has established that only transactions worth over one thousand euros are subject to KYC verification.  The minimum amount that can be sent without identification must be established.  Small amounts of transactions will simply clutter up the possible reporting of exchanges.  Therefore, it should not take root, even if officials want to establish such requirements.  On the other hand, there will always be exchanges in offshore zones that will not be subject to such strict rules.

It's a must for me to participate in binance IEO launchpads so I have already pass the KYC verification on binance, if it's a must to pass KYC I suggest it should be through top exchanges only, top centralized exchanges are still reliable than other exchanges so I have no worries going through KYC verifications

I don't like KYC
I like cryptocurrency because it's anonymous and decentralized, if I can avoid KYC I will definitely avoid it.
People should only do KYC on large exchanges, not KYC with small exchanges, most likely they'll sell your information to scammers.

The problem with this KYC for the cryptocurrency market is that there are many exchanges that have anonymous owners and it doesn’t make sense to do KYC in an exchange where the owner of the exchange is someone anonymous. then there is another issue that is related to the security of people's documents, as we all know this is a market that is not regulated, so how can guarantee that exchanges will not sell documents from people who do KYC? I think governments shouldn't ask exchanges to sin their KYC customers before they make laws to make exchanges work more ethically and securely and to be continuously supervised to ensure they don't sell customer documents

This is bound to happen eventually. The KYC process is inevitable and slowly every other exchange will have to ask their users for ID verification if they want to operate legally. The regulatory bodies are catching up. All government around the world wants to regulate each and every exchange and other business that are crypto based so that people don't evade taxes, launder money or do anything illegal. But lets not forget how the government likes to control everything. Even if some crypto currencies are decentralized, the government are putting regulations that help them control it!

what's the point of that video if there isn't a valid ID. their goal is to identify a person's name and his details. if its just a video, they'd still be anon. CEX had been doing it for awhile already,  i'm not a user of bitmex but i wonder its only now.

there are even DEX that turned out to be asking for KYC. don't be surprised if the dex will also mandate users to submit documents. if they want to continue their operation, they might be doing so else the authorities will shut them.

There are still some options that we can trade on decentralized exchanges that won't require us to have KYC. It's visible in the future that most of these exchanges have to follow certain rules for them to avoid sanctions.

And that rule would be requiring each of their traders to fulfill KYC. When that happens, they can see that their customers don't have an option but to follow it and I think that they've projected that it will make their business decrease in users.

I know most of the members from us hate kyc requirements. You will probably see bitmex exchange dumping volume soon bcs of this.

I normally do not like any exchange kyc submission because even crypto exchange aren't government verified. So I think they will change this worst decision soon.

I think KYC is not bad, it makes it possible for everyone to protect their accounts.
In case you lose your account, KYC is the best proof for you to find your account again.
However, people should not do KYC for small and less reputable transactions.

Crypto users do not like to do kyc but in some cases they are forced to do kyc with their personal information. In case of using the exchange, KYC has to be done by those who trade with large funds, for the security and withdrawal of their own funds, they have to share the information.

I haven't needed to do kyc on any exchange so far. Because the funds I trade and withdraw are much less than the daily limit of the unverified account. So I didn't need to do kyc.

Bitmex is responsible for the changes that are forced on them, In October, America accused the exchanges of allowing Hong kong company of laundering and illegal transaction, after this more investigation were done while the owner was arrested and prosecuted. Bitmex is said to be situated in Seychelles, not America yet there were able to see the atrocities. The management of the exchange had changed which prompted some changes to improve security and monitoring fund exchange of users.  

I guess if they really plan to do this then they will send warning first to its users so other people that do not want to take kyc can widraw their balance before having a mandatory kyc it happen in bittrex before.

In case exchange will really make this as Mandatory requirements. then Dex exchange will take their move and it will help them to have more liquidity and increase of daily volume . more of the traders that afraid or do not want to give their details will surely use dex exchange . Since they don't have any other options.

I think this is still very reasonable in order to narrow the movement of criminals who use cryptocurrencies as their transactions...
I don't really like KYC but seeing if KYC is needed I wouldn't refuse to do it. but I will not do KYC on a new exchange or airdrop campaign because it will definitely be misused by them.

Yes, almost all top exchanges have implemented kyc requirement for all account holders, even the small accounts that are exempted from kyc initially have trading and withdrawal limits so for ultimate freedom of trading you kust be kyc verified.

airdrops are not exchange dont do kyc with them but to the newer exchange i will also think twice not until i found out or they prove that they are trustworthy and for the older exchange i will surrender my kyc to them easily if they will required it on thier new update . i dont want to use dex for several reasons and p2p trades are also risky and hustle .


 removing no limit is supposed to be a good news but along with that they also require a kyc , the no limit trades are still going to be useless for non verified accounts .

If CEX makes KYC a must, they will instantly lose the war to swap kind of thing and wallets with function to performe exchange. And thanks God there are plently of DEX nowadays.
I would stop using an exchange, if they force me to pass KYC. I simply dont understand how it would help them to identify if I’m good or bad, or breaking any law.

However, as it is CEX, we cannot blame them if they require KYC or verification for their users/clients. Yep, most of CEX already apply KYC for their user/clients from the very beginning. For example, we cannot trade or withdraw our assets if we don't do the KYC procedure yet. So, the users/clients have no choice, then they must do KYC/verification. For me, it is no problem as long as it is a top exchange that has a good reputation and can be trusted by us.

That can't be. A lot of people use centralized exchanges without complying for a KYC so I can see that it's not going to happen. If that scenario somehow really happen in the future, then decentralized exchange would gain popularity as we all know that people doesn't really want KYC and is only being forced to do so.

I think it's becoming a nom for most centralized exchanges to require KYC and I don't think it's wrong to do so. Most regulatory agencies require that before those companies could be allowed to operate in the jurisdictions. That's why it's almost going to be compulsory in the near future.

For one who's not comfortable with that I think the best bet will be the decentralized exchanges where there're no such requirements but not without its own disadvantages such as inherent scams and hacking activities.

Those exchange sites have been making KYC as requirements to increase the withdrawal limit but it seems like that if those sites are still giving the daily limit for the new accounts that are not yet verified. BTW that's more than enough to see that. People can choose whether they wanna try to verify their identity or not.
Just remember about that dude.

KYC is not a problem as long as you can maintain privacy. this may have to be applied because privacy is the main thing and must be maintained. so we hope that all of them do not use KYC for negative things

If this concept is applied, it will be like being centralized and centralized where data and account ownership are known and stored by them.
i also use binance exchange, but i don't do kyc because it is only a small nominal transaction :).
the problem of data leakage has been circulating for a long time and it is said that in the black market a lot of data is traded.

This is mostly thanks to the strict financial surveillance laws in the United States. Most countries seem to be very lenient even when you're transferring large amounts. Even if you don't have American banking partners, the US government still expects you to comply with their regulations and will look for any way to come after you. BitMex isn't even a US exchange and American's aren't allowed to trade there. People would still find ways to bypass restrictions and they are being held responsible for this 'crime'.

it seems because maybe they have a reason to do that other than just increasing the withdrawal limit on your account.
to solve problems such as locked or hacked accounts, so that your funds are safe and cannot be used by those who took them.

all centralized exchanges will sooner or later implement this, so there's no need to be surprised. Again, if you just want to avoid KYC, you can use DEX. You can use Uniswap or other DEX. indeed the problem of hacking personal data is a serious problem in centralized exchanges. so many people prefer not verified, because it's safer. but we can't do anything. the choice is to do KYC or not use CEX.

It is BitMEX and the pre-announcement was made months ago. Old customers of BitMEX exchange were given a few months to submit documents and finish KYC on BitMEX or withdraw their crypto before the deadline. And nothing to be serious about this annoucement. If you are old customers and have not finished KYC, you can do it anytime you want and after the verification is done, your account will be back to tradeable. BitMEX does not close your accounts if you don't verify it. Just a temp freeze before verification is done.

People might don't like KYC and switch to other leverage exchanges. With your prediction, I think exchanges will slowly require KYC and the speed will depend on government requirements.

Why KYC is extremely dangerous – and useless (https://bitcointalk.org/index.php?topic=5221497.msg53726647#msg53726647)

That will happen when all countries legalize and the government will revise the regulations to become more stringent, especially for large CEXs where the majority of customers are residents of other countries. CEX will become an alternative bank and KYC cant be avoided in the future, such as opening an account at a bank.

Finding anonymous ways of buying crypto isn't hard today thanks to P2P platforms and DEX exchanges too but I don't have any reason to hide or want to buy crypto anonymously, my assets fund worths only few thousand dollars, I trust top centralized exchanges more though and I don't mind giving up my identity if it becomes a must to trade

Instant P2P cross-chain atomic swaps from non-custodial wallets that require no account or KYC are very much possible!
Check out Stakenet DEX.  ;D

I think this is a good thing, this way people like you who don't want to give their data to an exchange will choose to move to trade on a decentralized exchange, and this gives many decentralized platforms an opportunity to thrive.

I'm sure that soon almost all centralized exchanges in crypto space won't allow non verified users to trade and withdraw anymore, the more crypto is becoming a big thing the more SEC will grow more power over centralized exchanges, I'm just hoping that DEX will become better before this happens, right now DEX is still a big NO for me, thanks to Uniswap though it's the only best DEX right now

I don’t supported kyc. There are many small exchanges that sell documents to their users. Which loses privacy with a man. Many countries do not support cryptocurrency. As a result, the country failed to trade.

You mentioned clearly the advantage of KYC, because without it, retrieving hack accounts won't be easy. A friend was able to retrieve her account after 3 weeks on Binance because it was KYC verified. A video verification was made to ensure the rightful owner will be in control of the account, she was asked to hold required documents during the video verification to crosscheck with the ones uploaded in the system. KYC is cool for those who have large amount of funds on centralized exchanges. KYC should never be mandatory for those who trade with smaller funds, say below 1BTC. If KYC becomes a requisite before trading, then more and more people will adopt DEX, since some people won't want to share their ID.

I think there is nothing wrong with it. If someone doesn't like to share their information there is DEX for them. Also, this is good for the platform and the account owner both. Crypto scams and exchange hacks became very common so this will make sure no criminal will walk freely in open. Also, it will be easy for the exchange to retrieve a hacked account.

I think it's a matter of time.

Although it must be said Binance is uniquely positioned given its lobbying power in countries with lax regulations (e.g. Malta) that will likely allow it to continue offering services at least to some users without any verification. But it's certain that these restrictions will only get tougher.

It's one of the side effects of institutional adoption and greater maturity of markets - you simply can't have both ways. To attract these institutional players that bring about greater liquidity, the ecosystem must be well regulated and certain counterparty risks are eliminated to the greatest extent possible. There is no getting around this tradeoff, unfortunately.

Pic related will be the biggest and one of the most critical fights within crypto
https://i.imgur.com/bDZCxhF.png

Huobi is giving the daily withdrawal of 0.1 BTC for non verified users, you can try it too

Binance already requires KYC docs as far as I know, at least for US-based customers.  And yes, you've obviously realized what I've suspected for a long time now, i.e., that these centralized exchanges are starting to become regulated by the governments of whatever countries they're operating in, and they're all going to require KYC from their customers in the future. 

I'm expecting exchanges like Yobit, Livecoin, and those "instant exchanges" like Changelly and others to start requiring personal info from their customers.  I have no idea when it's going to happen, but there's no way the wild west days of exchanges being anonymous is going to last much longer.  It sucks, but I understand why it's already started happening. 

Governments will say that they're doing this because of money laundering or whatever, but the fact is that they don't want their citizens to have any sort of economic freedom.  So yep, it's going to be a must in the (probably) near future.

imagine handing your passport and bank statement to yobit. they'd probably turn around and sell it on the dark web immediately. :P

i bet there is massive regulatory pressure on binance.com to implement KYC right now. that's why they finally started geo-blocking americans last month. FINCEN (and possibly others) is all over them. that's who regulators want---the biggest exchanges in the world. tiny exchanges like yobit and livecoin will be the last holdouts.


they're getting worried about tax evasion IMO.

bitcoin---be your own swiss bank account!

That's pretty accurate I'd say, in next 5-10 years probably 99% of the centralized exchanges will require KYC verification and that will not be optional, even now it's not that easy to find a trusted centralized exchange that doesn't require KYC either at the time of registration or later down the road while you're using the exchange.

That's one of the reasons behind the popularity of DEX specially in this year, I believe not all of these exchange are happy about that either, knowing it can significantly impact the number of their active users and trading volume, but it's part of their jurisdiction policy and they have to comply with their rules if they want to keep operating there, so in some cases it's not really their fault.

https://www.investopedia.com/mnuchins-crypto-wallet-legislation-meets-opposition-5091934

Privacy made bitcoin what it is today.  Few here would have been involved in early years if btc was a simple online bank account.  Unconfiscatablity allowed people around the world to exit failing fiat systems in home countries (MANY MANY - from middle east to latin america to asia and africa)  It is because these fiat refugees were able to save themselves from plunder that people began to 'TRUST' in btc.  If people can no longer trust they can safely use their btc then the same people who made btc strong will have to find another way to keep $$ safe from bad govt's and bad people.  All this love for tighter regulation will result in btc holders loosing everything as govt's control btc like local currency.  BTC taught us to believe in ourselves and leave fiat for people who need a babysitter.  

Everyone who provides kyc docs to exchanges will eventually have their identity stolen.  Its is unavoidable as hackers attack exchanges to get btc.  Welcoming kyc is welcoming identity problems in the future - no way to separate the two.  No bank has survived without being hacked, who believes any exchange will.  KYC is now a commodity like btc - people buy and sell.  Sr. members have mentioned the absurdity of govt's forcing kyc to anonymous companies.  Does anyone remember the last time someone went to jail for 'loosing'/selling users personal info?

Even  Michael Saylor has said btc is valuable because it is "a synthetic bearer asset" - kyc = only synthetic asset.  so according to saylor's words it will likely loose value if it is no longer a bearer asset.

All these pairs are running on a lite wallet with a DEX embedded into it.
https://cdn.discordapp.com/attachments/374568694690611204/796458237364797440/image0.png

This is how fast it is to swap between them. Everything is non-custodial. No accounts, no KYC, no geoblocking.
https://www.youtube.com/watch?v=SU_uareVM4U

@nightflightcourt ,interestingl....will check it out.  is it on ETH or its own separate blockchain, or its own special thing?

If that will happen in the future, where most CEXs will require KYC no matter how much you are depositing or withdrawing, then, better submit your KYC docs in a trusted exchange like Binance. We all need to minimize the number of submission as much as possible, because in the end, we don't know where our docs will end up with. But right now, let us enjoy this stage where a lot of reputable exchanges don't require KYC if we are just meeting their min daily withdrawal limit. The KYC submission may not be avoidable once governments are hard with crypto regulations already.

In order to comply with local regulations, CEX must do so on request. With this, CEX will also receive legal protection and especially the issue of user fund safety insurance. Of course this will benefit both the customer and the exchange itself