Since a few weeks Dropil is listed in Bitmart. I was happy at first that there was another exchange that I could use to exchange my DROPs. So, I signed up at Birmart and I transferred my DROPs profit from the last Dex period to Bitmart in order to exchange them to ETH. All was fine at first. The sell order I made was filled quickly, so after that I wanted to withdraw my ETH.

Then I was confronted with the fact that I had to identify myself, in order to withdraw just a little over half an ETH.

I am all for KYC, it is a step in the right direction and will help a lot. Bitmart though seem to have a strange idea about how KYC should be enforced. They allow you to make deposits without asking for KYC. They allow you to create sell orders without having identified yourself. They also take the profits from your sell orders when they are filled. All that without asking you to identify yourself.

However, when you have exchanged your crypto and you want to withdraw it, then the ask you to identify yourself! If you do not participate in their KYC, they do not allow you to withdraw it! So you either participate in their KYC, or your crypto remains trapped...

They claim that their:
"KYC regulations are intended to ensure that exchange platforms are aware of the identities of their customers to ensure that unauthorized individuals (such as minors or criminals) don’t have access to certain services. That means without knowing customers' identity, there is no way to proof the source of fund is legitimate or not."

The problems with the way they implement KYC are the following:
1) Bitmart is giving all their customers access to their services without previously enforcing KYC. They only go into enforcing KYC when their customers have already had access to the services they provide.
2) They have already collected fees from the use of the exchanges before enforcing KYC. So they have already worked with and have been in business with potential "unauthorized individuals (such as minors or criminals)" as they call their customers, before asking them to participate in their KYC process. This means that they are already collaborators of potential "unauthorized individuals (such as minors or criminals)", before they try to enforce KYC.
3) The way that they implement KYC leads to most users being surprised by the fact that KYC is required in order to withdraw their crypto. So it is a kind of entrapment.
4) There is also the issue of them not setting different withdrawal limits, with different identification levels, as most exchanges do. Asking for KYC in order to be able to withdraw half an ETH is insane.
5) As I value my privacy very much and I do not wish to participate in their KYC, I also suggested that they manually return my ETH to my MEW wallet and then close my Bitmart account after that. They never responded to this request either...

To make a long story short. I am not sure if Bitmart are just trying to entrap their customers, or if they do not have the ability to understand how wrong the way is they are trying to implement KYC.

I have tried explaining them where they are wrong, but I do not seem to have gotten through. I doubt my points were even passed over to someone with the ability to understand them, even though I have asked for this to happen.

I would hereby like to warn everybody about the KYC trap Bitmart has set for you. Please be aware of it and do not fall for it. Personally I would recommend that everybody stays away from Bitmart, at least until they remove their KYC trap.