[Guide] Stay safe when dealing with Exchanges.

[crypto mania]

In exchanges like Changelly or Coinswitch - You indeed send them funds, but after conversion the funds are in your custody, in your wallet, in a DEX also you have to send funds, even if it is handled by a software, you have to send them funds. Without sending funds exchange is not possible. With regards to complaints against changelly or any such exchange, I can vouch for Coinswitch, I have worked there since the inception, and we interact with the support of changelly, binance, hitbtc, huobi, changnow on customer's behalf, since all these exchanges are our partner exchange, We make it sure that customers receive there funds and we try to provide a hassle free experience of trading. You may try us out with a small amount and then take your call.

Yeah but that's if the coins actually reach the point where they are converted. If they don't then they still are in the hands of the provider.

There are other alternatives where you don't have to transfer to a trusted party eg. LocalBitcoins.

The point here is that stuff like Changelly is indeed more convenient. But is it safer? Absolutely not.

Since I have been working in crypto industry for long, also since I work for Coinswitch, let me tell you, we handle support issues for all our partner exchanges, weather it is binance, changelly, changenow, idex, blocktrades, swaplabs etc. 1000s of orders are processed through them, and through us also. We have a fraud detection system enabled by which we find out addresses, which are processing orders through us who got hold of funds using incorrect practices. In case of local bitcoins I am not sure if you can identify a scammer, and find out how he got hold of his funds.

Thank you very much for this explanation because it changed my point of view about these exchanges. I assume that conversion is made also on the software level and indeed without sending money there will be no exchange. I have used ED a lot and indeed the funds were always safe and only hacked users using a phishing site but never by a hack on the exchange or related to.

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[Kakmakr]

Also, when you scan your KYC documents for verification, make a copy first and write the exchange URL or name on the document. If your data are hacked or leaked and used on some other site <stolen identity>.. you can trace where it was leaked. The identity thief will have to Photoshop the documents, before they use it and they will not want to go through all that trouble. They will much rather use someone else's documents, without this markings being done to the documents.

The exchange can still use the documents for verification, but they will see that you are cautious about the sensitivity of your personal documents. 

[crypto mania]

...when you scan your KYC documents for verification, make a copy first and write the exchange URL or name on the document...

Thank you for this suggestion, of course, will be added to my list.
I will try to award you with merit when I only get new once.

[wwzsocki]

I see the list is growing and I will update all added points in my Polish thread if you don't mind @crypto mania?

There is a big chance to make a really good guide from this post for beginners.

I will add in the nearest future a few points to support guide.

I see a member which works as a support agent shared valuable info here in your thread and I will use it too in my Polish thread if you are ok with that?

[crypto mania]

I see the list is growing and I will update all added points in my Polish thread if you don't mind @crypto mania?

Of course, I am ok with that. This is still your thread but I have changed a few things and added all new suggestions. I keep translating all changes from your Polish thread too  . This is my first guide on BTT and I want it to be really good. I will wait for your update and add it here too of course. Don't have to ask me anymore for permission and you can do whatever you want with this text.

[crypto mania]

Also, when you scan your KYC documents for verification, make a copy first and write the exchange URL or name on the document. If your data are hacked or leaked and used on some other site <stolen identity>.. you can trace where it was leaked...

Another good suggestion.

Is now on my list: "When you scan your KYC documents for verification, make a copy first and write the exchange URL or name on the document this will prevent or make harder for hackers to use it."

If anybody has additional suggestions on how to stay safe on exchange and when dealing with support then please share. We will all benefit from the knowledge.

...And one point which wasn't mentioned by you, related to phishing scams. We often see various giveaways of BTC or ETH on social media posted with name of famous exchange. But it's always posted from fake accounts. Exchanges aren't giving money for free, these fake giveaways are made only to scam people.

Thank you @LTU_btc for this suggestion and sorry that it took so long to respond. I was updating today this thread and read all answers to check if I haven't missed any and I found that indeed I missed a few quality posts.

I already had a similar point in my list and maybe that is why I haven't added it faster. Anyways, I adjusted this point and now looks like this: " Check exchange on google and their social network pages, in particular: Twitter, Facebook. Search for new complaints about coins or tokens, scam accusations, etc."

[crypto mania]

I just updated this thread and added a couple of more bad experiences that happened to me lately on exchanges.
The biggest problem is that some of the crypto exchanges force us to fulfill KYC which was not needed when I was registering.

Actually, I am talking about Nova exchange, which is closing soon and sent me a reminder to withdraw but first I have to fulfill KYC which I don't want to do.
I have never deposited any FIAT there so I don't understand this requirement and am not willing to do this because of many reasons.

First, I don't want to share my documents with an exchange that is closing and has not the best reputation. Second, was not needed before so why now?
I am curious about your opinions on this topic?

[UserU]

I just updated this thread and added a couple of more bad experiences that happened to me lately on exchanges.

The biggest problem is that some of the crypto exchanges force us to fulfill KYC which was not needed when I was registering.

Actually, I am talking about Novaexchange which is closing soon and sent me a reminder to withdraw but first I have to fulfill KYC which I don't want to do.

I have never deposited any FIAT there so I don't understand this requirement and am not willing to do this because of many reasons.

First, I don't want to share my documents with an exchange that is closing and has not the best reputation.
Second, was not needed before so why now?

I am curious about your opinions on this topic?

KYC is pretty much a double-edged sword. From the exchange's POV, they need it to ensure you're the legit owner of the account and of course track down individuals involved in fraud.

On the other hand, we users want everything to go on smoothly.

Without a doubt many find it annoying because we're giving away our info and many providers tend to take our identities for granted. Imagine if database breaches occur, what's worse than our KYCs being involved?

But then for your case, do you have the authority to tell them how to scrutinize their users? You're at their mercy the moment you register an account, remember that.

If you've nothing to lose from the closure, by all means, ignore their request for KYC. How much do you have in the account?

[Lizzie_Girl]

Just stop using KYC. It is not going to help you. You know you, not a criminal so you do not need it. How dare anyone impose this ridiculous bullshit on me. They really go overboard and it is mostly the USA.
Hyper paranoia and illogical fear of imaginary terrorists being funded by bitcoin. I mean, please. Grow up.

...when you scan your KYC documents for verification, make a copy first and write the exchange URL or name on the document...

Thank you for this suggestion, of course, will be added to my list.
I will try to award you with merit when I only get new once.

How often do we get new merits? I should be giing people some as well.