Can an exchange that requires KYC call itself as DEX?

[inanilujimi]

if the exchange has KYC, of course it is not dex.
it is definitely a centralized exchange because only a centralized exchange has your private key and requires the KYC to trade it.

[cchub]

Of course a DEX cannot demand KYC. This is bs... We need DEXes without KYC.

[LbtalkL]

As everyone is saying obviously its not a DEX, that exchange is a clown. Everything that requires kyc is not a dex I made a glimpse on the exchange site they have really done it saying Decentralized P2P Exchange.
I have seen this on their privacy policy.

"Personal information collected in the process of using the membership-based services shall be processed for the following purposes: confirming identity, confirming User age, identifying individuals, preventing/identifying illegal use, preventing unauthorized access, confirming membership intention, membership restrictions, confirming identify of legal representative, preserving records for dispute settlements, processing complaints, and delivering announcements. "

[raditerko]

lol, sure no. if DEX asks a documents, from that moment it becomes CEX
literaly, how can they check your documents without centralizing?
for me it is even strange when exhcanges ask KYC for small amounts or cryprto-crypto trading.

[andika2018]

if the exchange has KYC, of course it is not dex.
it is definitely a centralized exchange because only a centralized exchange has your private key and requires the KYC to trade it.

Centralized exchanger must be need KYC to comply with government regulation to avoid from money laundering. If that Korean Exchanger, perhaps government require KYC from every member and i think its fine, but basicly DEX should be not requiring KYC

[Jrfranco]

Recently, I've encountered a Korean exchange that requires KYC before you can start trading. Their website says its a DEX.

I got used to the idea that decentralized exchanges like Etherdelta, Forkdelta, DDEX should not require any personal information from traders. Just connect the wallet and that it.


EDIT: For those who are asking for the exchange name, it is Allbit. Based on the replies, it seems that this case is only in S. Korea. Let's hope this does not spread.

In my own opinion, I am not really brainy when it comes to dex or anything but I believe that kyc is one of the important factor in any or all the exchanges, we knew already how important it is as a user and it serves as an security factor.

[tins]

Trading floors from Korea force users to KYC before starting trade. I heard that because their country taxed traders

[abstractednerve]

Thank you for mentioning the name. I will ask the Allbit team, this is not a good manner! And, I would suggest traders avoid these shady exchanges. I don't know why they are asking the user's real identity when the crypto market's nature is decentralized and anonymous! They excuse, KYC is important to prevent scammer and to detect real users only, but what is happening every year? Billions of crypto asset hacked last year from the exchanges! KYC just a formula for them to prove they are a good exchange, but they are wrong here! and KYC verification in a decentralized exchange? Just Ridiculous!

[VanDeinsberg12]

lol, sure no. if DEX asks a documents, from that moment it becomes CEX
literaly, how can they check your documents without centralizing?
for me it is even strange when exhcanges ask KYC for small amounts or cryprto-crypto trading.

The data must be stored somewhere else in the cloud, that itself obviously cancels out the very purpose of being a dex which purpose is to make sure that there is no one storing the client data.
Maybe the government law forces them to do so but nonetheless might aswell off being a centralized exchange instead.

[CryptoAlphaStar]

I guess it can just for the technical reasons and the way transactions are executed. But not for ideological reasons. It really doesn't make sense for such a DEX to exist.

[voztata]

It is not possible for a fully decentralized exchange to conduct KYC and still call itself a dex, the reason why it's called a decentralized exchange is because it has no central database or central wallet where the user's activities are being stored. So i will say that any exchange collecting KYC and still referring itself as a DEX is a joke because they are still centralized.

[Quintrix]

Even if they are a good exchange I will not even try to trade here because I'm having a had time to understand their interface, but I'm surprise that they have good traffic if they only cater for Korean traders, this must be a good exchange for Koreans.

[shoreno]

> Snip <

im a regular user of decentralized exchanges and im not only trading on one platform but almost all dex exchange ive done testing them out and i dont see any kyc on their sites . what you are saying is true  , only centralized exchange have a kyc but they are not necesary requiring it before you can start using their platform  .  kyc only meant if you want to increase your trading limits  .