Know Your Customer

[nelsledma]

For exchanges, ICOs that collect KYC information, when are they required to send information to the government.

If I remember correctly, in the US if you make a money transaction, such as through Western Union, or bank, $3,000+, within the same day, or smaller amounts during consecutive days, the institution must collect your ID information and Social Security and report it to the government. I forget which entity of the government.

Does that mean that if one participates in an ICO and puts in over $3,000, that gets reported to the government? Or if you move $3,000 out of an exchange, that gets reported?

In my country all the BTC investors are required to add KYC details while creating an account in the exchange. This is because people here open accounts in names of relatives to hide the investments and save tax.

It seems like it is something that is really going on right now in most places. Although, reading through the terms and conditions of Luno exchange recently, they said that all the KYC docs are private and will not be disclosed as it remains personal, therefore anyone should be able to know how to settle themselves with the government when it comes to tax. However, we all know that T and Cs can be changed and it is even stated there anyway, so I would not bank on that.

[Commitments]

I have worried about the ico system where they ned our KYC system for verify our identity for joined and participation for thei ico project. I don’t know why they are needed our KYC data and have upload our identity card, we have bought their coin and pay by our bitcoin or our altcoin, but why the still need our identity card, what for we have needed for verify our data and need KYC system. Will be they wanna take our identity ?

[PizzaBTC]

Knowing your customer builds a good relationship between the buyer and seller. With this, you can easily identify which one will be your top priority however it would also mean that you should check every detail about the person, this could also be used as a backed up data so when you need to trace the person, you know where to start. Millions are being earned from this business, and it is not easy to identify who earns it. but thru KYC they can have a way to identify them.

Yep, I definitely agree with you that when you know your customer,you can build a good relationship. Even it is really much more safer for you if you know your customer ,I find it convenient for me to know my customer. Around us, there are many people who are scammers, has black money and to speak frankly I am sure that nobody can know or identify whether they are cheated and even lost lots of asset.In anyway,it’s really necessary for us to know our customer.

Asides the good relationship, which we already know that is not the main essence of the KYC, the actual sense of it is just to fish out any misdealing that could look more like illegal which we all know it is normal anyway for anything that has to do with monetary policies in most countries, and since this is in play, I am sure most exchanges in these countries usually do not have a choice than to collect the data of each individual, irrespective of how they end up using it.

[Jeepney_koh]

For exchanges, ICOs that collect KYC information, when are they required to send information to the government.

If I remember correctly, in the US if you make a money transaction, such as through Western Union, or bank, $3,000+, within the same day, or smaller amounts during consecutive days, the institution must collect your ID information and Social Security and report it to the government. I forget which entity of the government.

Does that mean that if one participates in an ICO and puts in over $3,000, that gets reported to the government? Or if you move $3,000 out of an exchange, that gets reported?

Know Your Customer (KYC) is actually breaking the rule of financial freedom and privacy in crypto world. I do not agree with the ICOs gathering information, private information, from the investors. I would still prefer the old way that your identity is private. KYC encourages the government to detects those who are involved in cryptocurrency and may lead to taxation.

[Nkan25]

For exchanges, ICOs that collect KYC information, when are they required to send information to the government.

If I remember correctly, in the US if you make a money transaction, such as through Western Union, or bank, $3,000+, within the same day, or smaller amounts during consecutive days, the institution must collect your ID information and Social Security and report it to the government. I forget which entity of the government.

Does that mean that if one participates in an ICO and puts in over $3,000, that gets reported to the government? Or if you move $3,000 out of an exchange, that gets reported?

Know Your Customer (KYC) is actually breaking the rule of financial freedom and privacy in crypto world. I do not agree with the ICOs gathering information, private information, from the investors. I would still prefer the old way that your identity is private. KYC encourages the government to detects those who are involved in cryptocurrency and may lead to taxation.

It definitely makes it a challenge in the US to participate in an ICO unless your an accredited investor. I got a VPN and some friends outside of the states to help me, but it keeps a majority of other regular US investors from joining. Again leading to the richer investors to have an even greater advantage.

[Idrisu]

to have a successful business, you need to market your products but first thing is, you should know your customers. so that you will know if that customer is trustworthy or not.

That's not the issue here. I'm talking abut KYC, which is a legal thing.

He only read the heading which is a bit different from what op really mean! Kyc is good to me, every transactions that is above  $5,000 is been reported to the financial and regulations agency of my country and this is done in other to control looting of public fund and anti terrorism.
In cryptocurrencies, I think this is highly needed in other to regulate the same issues. We are living with evils people and technology as beautiful as blockchain should not be used by those evil mean to loot money to fund they evil intentions.

[zhea]

Customer is the lifeblood of the business, so it is very important that we should know first our customers, our market before putting up a business. We can encounter different kinds of customers everyday, whether it is a bad or a good customer so it is a must that we should know what kind of customers we are going to face and encounter when the time we have a business already.

[Hopeful2017]

For exchanges, ICOs that collect KYC information, when are they required to send information to the government.

If I remember correctly, in the US if you make a money transaction, such as through Western Union, or bank, $3,000+, within the same day, or smaller amounts during consecutive days, the institution must collect your ID information and Social Security and report it to the government. I forget which entity of the government.

Does that mean that if one participates in an ICO and puts in over $3,000, that gets reported to the government? Or if you move $3,000 out of an exchange, that gets reported?

This thing is bringing out the identity and private information of one investor. Likewise, the information will become vulnerable to hackers and may lead to identity theft. Cryptocurrency is developed because it is decentralized, has financial freedom and ability to keep your identity in private. KYC will expose yourself if not treated with high confidentiality.

[Ctn]

For exchanges, ICOs that collect KYC information, when are they required to send information to the government.

If I remember correctly, in the US if you make a money transaction, such as through Western Union, or bank, $3,000+, within the same day, or smaller amounts during consecutive days, the institution must collect your ID information and Social Security and report it to the government. I forget which entity of the government.

Does that mean that if one participates in an ICO and puts in over $3,000, that gets reported to the government? Or if you move $3,000 out of an exchange, that gets reported?

I think yes that’s true law. It’s also applicable in my country where if the transaction exceeds to equivalent amount of 2500 USD. This has to be Filed towards the returns that I pay. But to be honest in my country the regulations are not that strict and I can just surpass the whole thing with few tricks. I can buy token by paying to other person with cash and hide the whole thing. So I have that advantage here but in the country like USA where things are very strict and every bit of transaction is tracked I’m sure that’s worst one. Getting into ICO in my country is easy but in US everything is getting worst and people out there are not gonna bless with it.

[Shikaina]

to have a successful business, you need to market your products but first thing is, you should know your customers. so that you will know if that customer is trustworthy or not.

But i dont know what is the use of this procedure in the crypto world and one of the features of crypto is anonymity, if we give our information it will not longer be called anonymous which contradicts the characteristic which cryptocurrncy is known of. If we are the investors, we are asked for a KYC and I don't see it relevant because we are the one puttting out the money.

[goku1525]

to have a successful business, you need to market your products but first thing is, you should know your customers. so that you will know if that customer is trustworthy or not.

But i dont know what is the use of this procedure in the crypto world and one of the features of crypto is anonymity, if we give our information it will not longer be called anonymous which contradicts the characteristic which cryptocurrncy is known of. If we are the investors, we are asked for a KYC and I don't see it relevant because we are the one puttting out the money.

The most useful to be secured is have a information to your customer and collect more personal background to your customer whether it is legitimate or a scammer like in the US they want to report in the government its very useful because of the great and good regulation and security for the investors sake.

[alyssa85]

It is interesting how the goverments that are more keen on having the KYC are also preventing people from investing. I think the process itself is stupid and prone to false info.

They're using KYC requirements to prevent investment. In other words they don't want to come right out and ban things, so they throw sand in the works instead.

[boynegro]

I have worried about the ico system where they ned our KYC system for verify our identity for joined and participation for thei ico project. I don’t know why they are needed our KYC data and have upload our identity card, we have bought their coin and pay by our bitcoin or our altcoin, but why the still need our identity card, what for we have needed for verify our data and need KYC system. Will be they wanna take our identity ?

Identifying your customer is the key to the success of your small business. Get to know your customer by asking questions, listening, and responding. Know everything about your customer so that you will get the key to success

[ecnalubma]

For exchanges, ICOs that collect KYC information, when are they required to send information to the government.

If I remember correctly, in the US if you make a money transaction, such as through Western Union, or bank, $3,000+, within the same day, or smaller amounts during consecutive days, the institution must collect your ID information and Social Security and report it to the government. I forget which entity of the government.

Does that mean that if one participates in an ICO and puts in over $3,000, that gets reported to the government? Or if you move $3,000 out of an exchange, that gets reported?

Maybe it depends on the process of the certain ICO, it is a standard basis now and everyone must obey this process both parties the investors and the particular ICO'S. Exchanges also abide with this rules and some of them self regulates to avoid being scrutinize by the Government, for me its a good move to have a transparent crypto ecosystem.

[reynilynedago]

For exchanges, ICOs that collect KYC information, when are they required to send information to the government.

If I remember correctly, in the US if you make a money transaction, such as through Western Union, or bank, $3,000+, within the same day, or smaller amounts during consecutive days, the institution must collect your ID information and Social Security and report it to the government. I forget which entity of the government.

Does that mean that if one participates in an ICO and puts in over $3,000, that gets reported to the government? Or if you move $3,000 out of an exchange, that gets reported?

In every business type  you must know every customer you have so you wont be able to regret soon. Be more awre in every people around Us specially through online site .You didnt know that kind of person .And when it comes to transacting money must collect Ids.

[destroyer01]

It’s not enough to just check your customer once, you need to have a program that knows your customer on an ongoing basis.The ongoing monitoring function includes oversight of financial transactions and accounts based on thresholds developed as part of a customer’s risk profile.

[icol333]

Mostly the ICOs project that currently being developed, is obligated to have their investors KYC as the requirement from their country where the project was created. I think it is true that they need to submit the list of their investors KYC so either from the project and the country itself can trace the money that was used in the ICO, and in case something bad happens, so they can quickly process it.

[RudeeTam]

From my understanding, if the ICO is not registered in any government it won't get reported if you move your money (presumably in crypto) into them. If you withdraw money from exchanges it can be reported.

[chaa123]

Knowing your customers is the golden rule in any market you would venture. Without knowing your customers, you cannot properly identify your target market. Without a selected target market, your investment will certainly lose its value...

[abayan]

This is what we have seen in some ICO's but for me this KYC (knowing your customer) is important because we will be able to know the one that you are dealing with is legitimate in their dealings when doing bitcoin transactions and so that you will know if that customer is trustworthy or not.

Of course knowing your customer is one of the biggest strategies to deal with them. Unless we know are customers very well, we won't make it better to communicate and provide the needs they have. From knowing our customers, it will be possible for us to be more productice ans result oriented.