KYC Docs

[thinklab71]

When ICO's collect your KYC docs, is that it?   What do they do with them, just hold on to them for record keeping or are they required to process them some how?

[1714860834]

1714860834

[kutangterbang]

In my opinion, it is useful as information about buyers or investors in an ICO, and it could someday be a reference material for investors, to prevent crime

[Bonus777]

When ICO's collect your KYC docs, is that it?   What do they do with them, just hold on to them for record keeping or are they required to process them some how?

This is due to the legal moments of the distribution of tokens. Under the laws, some companies do not have the right to transfer their tokens to residents of certain countries. Therefore, they introduce KYC, so as not to violate the law.

[thinklab71]

So they are only really just holding on to them, make sure they look legit and keep them for record keeping?

In my opinion, it is useful as information about buyers or investors in an ICO, and it could someday be a reference material for investors, to prevent crime

[3DBrushes]

KYC documents are useful in legal matters in the respected countries. Though ICOs raise Crypto currencies like ethereum for their project in the background they will convert it into their countries Fiat system like USD, EUR, INR etc because they don't want to risk the contributed amount. If they want to cashout millions of dollars then it is quite obvious for governments to ask for the source of funds to knows if that is laundered money or not.

[amacar2]

They might sell your docs on black market if the ico itself will turn into scam. That's why I never give my docs to all random ico out there and also suggest others to be careful when sharing your docs with any ICO.

I am rather buying coins in discount or at around ico price when they will get listed and bounty is distributed.

[MiltonFree]

I don't really understand what for do  projects need kyc from small buyers. But for whales that is necessarily, sure

[Nivelir]

oh ... KYC procedure is a rather strange procedure, which is now used all in a row. even in some bounty companies, began to use this procedure, Gospadi, why should poor hunters go through it? It was created for investors to exclude the possibility of money laundering.

[hoodi]

Could you explain what is KYC and how does it work. I googled "Know Your Customer" but would like to know what you meant in your question.

[rumexx]

I really do not understand the need for the KYC even some project are asking bounty hunter to do KYC. I have asked why the KYC and I am yet to know the reason.

[13abyknight]

I don't really understand what for do  projects need kyc from small buyers. But for whales that is necessarily, sure

"Better be safe than sorry"

With that line, I'll elaborate on a couple of key things that ICOs focus on here. As we all know, most ICOs do not allow the citizens of multiple countries to contribute towards the project due to various restrictions imposed by the nation. Today, we're all known for finding loopholes in the system and those who belong to these 'restricted from participating' countries, resort to using services like VPN to buy tokens during the crowdsale. While this is harmful for the project itself, making KYC compliance mandatory for all investors would be the way to go, keeping check of all investors along with their background profiles.

[cdb1690]

When ICO's collect your KYC docs, is that it?   What do they do with them, just hold on to them for record keeping or are they required to process them some how?

They might sell your docs on black market if the ico itself will turn into scam. That's why I never give my docs to all random ico out there and also suggest others to be careful when sharing your docs with any ICO.

I am rather buying coins in discount or at around ico price when they will get listed and bounty is distributed.

They might. They might also hand them over to local governments, regulatory agencies and such if asked to do so. Or they could build your profile based on the information you provided to them and sell that profile to third parties such as advertisement companies. Keep in mind, that neither of those two aforementioned options involve breaking a law.

[icol333]

Could you explain what is KYC and how does it work. I googled "Know Your Customer" but would like to know what you meant in your question.

It's where you upload your identity document (could be identity card or passport), that is used by the project's developer to make sure that you're not located in a country that is prohibited to join the project.
Nowadays it's a must thing to do before you can invest in a project, to make sure that the project is not against the local law.

[SHAWN-MIDWAYS]

When ICO's collect your KYC docs, is that it?   What do they do with them, just hold on to them for record keeping or are they required to process them some how?

probably just record keeping should any authorities what some information on a user...

In my opinion, it is useful as information about buyers or investors in an ICO, and it could someday be a reference material for investors, to prevent crime

I agree certain projects require this information but for bounty hunters getting less than 100 dollars...KYC makes no sense in this case tbh

[Tarantula9]

KYC is a bit of a mystery to many, but it is especially important to those who are doing ICO's in restricted countries, such as the US.  This is part of the processor proving the buyers are "accredited investors" aka they know what they are doing and are not confused as to the nature of the token they are buying.  It helps enable higher net worth buyers and sellers who understand the crypto market conduct business within the guidelines of the SEC.

[oseikuf44]

KYC is very important for ICO team members in order to know customers that are purchasing their tokens. This prevent the use of tokens as a form of money laundering.

[blok]

They're verifying them through some trusted third-party and may pass them on to banks, tax agencies, financial institutions etc as a proof of whom they got the money from.

[Omega Weapon]

When ICO's collect your KYC docs, is that it?   What do they do with them, just hold on to them for record keeping or are they required to process them some how?

In theory yes that is all what they will do with them and maybe if they received a court order to revel those documents they will allow authorities to see them, however I refuse to let myself be ordered around by some icos, if the ico is legit you may decide to trust in them and send them your documents but if the ico looks scammy it will be a terrible mistake to send them anything.

[oddwh]

Currently KYC docs are collected and stored by companies to justify from where their funds they collected come from. This is useful to justify on banks and countries when they need to cash out to pay employees and company expenses.

Companies themselves cannot check if you're a terrorist, drug dealer or trying to do money laundering, but countries will have to check.

By the way, you must be careful on which ICO you decide to invest, a scam steling personal informations can be devastating for your entire life if someone steal your identity.