Why KYC is important?

[peachaston4]

A lot of ICOs are facing a problem from their investors due to the KYC. Voluntarily complying with KYC regulations provides many advantages to the Offeror and its investors, even if they are not currently explicitly mandated to enact such a process.

1. Cryptocurrency exchanges are beginning to exclude cryptocurrencies that did not properly implement KYC processes. Thus, not running such checks poses a long-term risk to a project. The Financial Times reported that New York Stock Exchange-backed GDAX says it “plans to list only a fraction of the hundreds of new digital coins that have been invented this year”

2. Voluntary KYC compliance may help ICOs reach a larger global audience and expand the number of jurisdictions in which they can take place. Such compliance allows easier reach to investors in America, Britain, Canada and elsewhere.

There are other restrictions also imposed from SECs and banks which greatly limit the activity of the company in the future.

We 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 the adoption to seamlessly occur, the company holding the ICO needs to have KYC, which otherwise will create issues for the company in the long run, which is bad for both the investors and the holder of the company.



Enkidu has it's pre-sale going on right now. The minimum viable product has been developed before the pre-sale.
Join our Telegram group for more information: https://t.me/enkiduofficial
Join our token sale here: https://tokensale.enkidu.io




**edit: KYC is not done by a company to know where their money comes from. To be honest, a company rolling out its ICO cares about the cash inflow and not about their identity. It is a means of due diligence so that they are not prosecuted by their country of operation.

[manoj6233]

Why KYC is mandatory now. ... KYC norms were introduced in 2002 by the Reserve Bank of India (RBI). It directed all banks and financial institutions to put in place a policy framework to know their customers before opening any account. The purpose was to prevent money laundering, terrorist financing, theft and so on

 If you're like most people, you probably didn't hear anything about KYC until you signed up to buy DAT, but as cryptocurrencies become more ... Understanding Identity Verification (KYC) For ICO Token Sales ... It's important that we do these checks because it protects you as a contributor to the project.

[eMusic]

Why?
Same reason KFC is important

[GBCrypto1]

A lot of ICOs are facing a problem from their investors due to the KYC. Voluntarily complying with KYC regulations provides many advantages to the Offeror and its investors, even if they are not currently explicitly mandated to enact such a process.

1. Cryptocurrency exchanges are beginning to exclude cryptocurrencies that did not properly implement KYC processes. Thus, not running such checks poses a long-term risk to a project. The Financial Times reported that New York Stock Exchange-backed GDAX says it “plans to list only a fraction of the hundreds of new digital coins that have been invented this year”

2. Voluntary KYC compliance may help ICOs reach a larger global audience and expand the number of jurisdictions in which they can take place. Such compliance allows easier reach to investors in America, Britain, Canada and elsewhere.

There are other restrictions also imposed from SECs and banks which greatly limit the activity of the company in the future.

We 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 the adoption to seamlessly occur, the company holding the ICO needs to have KYC, which otherwise will create issues for the company in the long run, which is bad for both the investors and the holder of the company.



Enkidu has it's pre-sale going on right now. The minimum viable product has been developed before the pre-sale.
Join our Telegram group for more information: https://t.me/enkiduofficial
Join our token sale here: https://tokensale.enkidu.io

Some people assume that collecting data through KYC is actually an illegal activity and a way of selling data which is not true. A lot of the new ICOs have KYC process as they do not wish for a bumpy road in the future for partnering with corporate bodies or any other financial institution.

[danherbias07]

Is it really a good thing?
Investors will come in from US, Canada and other countries which have restrictions. Yes, that is good on the side of the ICO company. Then what about those who wants to keep their profile at minimum?
They want ID's, address and every information including your Mom's maiden name.
Where is the decentralized crypto now? All of us is an easy target by thieves and could also be hacked anytime.

[loloy]

Why KFC is important? maybe they just want to know what kind of investors they're serving and the financial status or the identity of their investors.
For me it's awkward because those people who want to invest on a coin and don't give any real identity so they could just wait your altcoins to be circulated and they're going to buy tokens as they like without giving any information regarding with their real identities.
KYC is totally useless and Blockchain technology isn't about for knowing who are the parties between the sender and the receiver, most of the time, it's all about being anonymity and privacy.

[loloy]

Is it really a good thing?
Investors will come in from US, Canada and other countries which have restrictions. Yes, that is good on the side of the ICO company. Then what about those who wants to keep their profile at minimum?
They want ID's, address and every information including your Mom's maiden name.
Where is the decentralized crypto now? All of us is an easy target by thieves and could also be hacked anytime.

That's indeed bullshit because KYC are nothing to do with the overall trading within crypto markets.
What's the purpose for that?
People could generate wallets without putting the real identity and people could make trades between wallets and coin exchanges without giving any information and details regarding KYC's.
What the point for KYC? when the person invest on ICOs and get their tokens, they wouldn't know if who's buying their tokens when they try to trade it into coin exchanges.

[peachaston4]

Is it really a good thing?
Investors will come in from US, Canada and other countries which have restrictions. Yes, that is good on the side of the ICO company. Then what about those who wants to keep their profile at minimum?
They want ID's, address and every information including your Mom's maiden name.
Where is the decentralized crypto now? All of us is an easy target by thieves and could also be hacked anytime.

I understand that this was not what was in mind when cryptocurrency entered but it needs more time to settle into our community. This can only happen when all the blockchain applications are fully working and functional in the society and for this to happen the applications created need to be in accord with the regulations, cause if not then the company will have a hard time collaborating with companies present in the current world which will only delay its adoption. If we do not let that happen by creating a problem for all the ICOs now with KYC, all we are doing is hindering its growth.
The community needs compliance for now for better adoption.

[peachaston4]

Is it really a good thing?
Investors will come in from US, Canada and other countries which have restrictions. Yes, that is good on the side of the ICO company. Then what about those who wants to keep their profile at minimum?
They want ID's, address and every information including your Mom's maiden name.
Where is the decentralized crypto now? All of us is an easy target by thieves and could also be hacked anytime.

It is just that most of the applications coming up now in the blockchain space need the larger financial institutions to aid in its growth.

[peachaston4]

Why KYC is mandatory now. ... KYC norms were introduced in 2002 by the Reserve Bank of India (RBI). It directed all banks and financial institutions to put in place a policy framework to know their customers before opening any account. The purpose was to prevent money laundering, terrorist financing, theft and so on

 If you're like most people, you probably didn't hear anything about KYC until you signed up to buy DAT, but as cryptocurrencies become more ... Understanding Identity Verification (KYC) For ICO Token Sales ... It's important that we do these checks because it protects you as a contributor to the project.

It is now necessary for a lot of places to avoid legal implications.

[cryptomngr]

SEC's regulations ony governs those ICOs  that are residing in the U.S premises,this excludes these ICOS outside the U.S why would these ICOs comply to the SEC's regulations if they arent from the U.S? this is bullshit and it shouldnt be supported by the community,risking those informations for the sake of these tokens that can be bought when these projects got listed in exchanges? not worth the risk .

[peachaston4]

Is it really a good thing?
Investors will come in from US, Canada and other countries which have restrictions. Yes, that is good on the side of the ICO company. Then what about those who wants to keep their profile at minimum?
They want ID's, address and every information including your Mom's maiden name.
Where is the decentralized crypto now? All of us is an easy target by thieves and could also be hacked anytime.

That's indeed bullshit because KYC are nothing to do with the overall trading within crypto markets.
What's the purpose for that?
People could generate wallets without putting the real identity and people could make trades between wallets and coin exchanges without giving any information and details regarding KYC's.
What the point for KYC? when the person invest on ICOs and get their tokens, they wouldn't know if who's buying their tokens when they try to trade it into coin exchanges.

I added an edit as a response to your comment.

[Benarand]

The developers of the project must know to whom they send their tokens, plus the passage of the KYC procedure for the international community has become an intensification of the fight against international terrorism and criminally acquired assets. Therefore, project developers implement this procedure to know their potential investors.

[Kippah]

I am collecting large dataset to better understand how you invest in ICO. We want to start a community due diligence project, which could provide better information about ongoing ICOs and protect you from the scam ICOs. Let's get rid of the bad ICO apples!

In order to do that I need your help! If you ever invested in ICOs (at least one) fill in this survey (won't take you more than 5 minutes.) May the blockchain be with you!

https://tilburglawschool.eu.qualtrics.com/jfe/form/SV_3sCWmLd0wY1OK3P

[easynote]

The developers of the project must know to whom they send their tokens, plus the passage of the KYC procedure for the international community has become an intensification of the fight against international terrorism and criminally acquired assets. Therefore, project developers implement this procedure to know their potential investors.

It's weird how guys like to just complain that they have to do a KYC. They should know that any ICO that they invest in will try to scam them.

[FaucetKING]

A lot of icos use kyc just because they doesnt want to make their ico a money laundering tool. They are trying to keep the investors safe. But, you should know that kyc is against crypto, this last was invented to make anonymous trades not just transactions between known peoples.
I dont really like icos with kyc.

[Turkish88]

I think its ceated to prevent investing big money from one investor. To control this he making identity their clients

[bishopcrypto]

A lot of icos use kyc just because they doesnt want to make their ico a money laundering tool. They are trying to keep the investors safe. But, you should know that kyc is against crypto, this last was invented to make anonymous trades not just transactions between known peoples.
I dont really like icos with kyc.

I agree with this. KYC is there to keep out small investors, not to protect them. Wall Street didn't like your gains because your gains made them look bad, so now it is illegal for you to make them.

[lushlife]

As far as I've known, KYC is important, mandatory rather, to prevent money laundering. Correct me if I'm wrong 

[rommelzkie]

Yes KYC is important but giving your personal information and documents likes drivers license and passport to the ICO Company is not good. This is because they might use that information against you or sell it to the blackmarket.