KYC defeats the purpose of Crypto. Thoughts anyone?

[tonyja2017]

The KYC process annoys the hell out of me. I remember a time when you could trade coins freely and without owning up to your identity at all. Not that I'm hiding anything, I just don't like every man and his dog having a copy of my government ID - I feel that's very intrusive. I mean the whole idea of cryptocurrency was anonymous peer-to-peer trading without government intervention. Now it seems you can't fart in the wrong direction without someone breathing down your neck.

I mean I get it, exchanges, ICO's, etc, want to be on the safe side -- although what I really object to is these places accepting my crypto first and then telling me that I need to give them a mugshot if I want to use it, or withdraw it again. It's a nightmare.

Anyone else a bit miffed with all this identity craziness we're in right now?

Or am I just being a grumpy old man?

You are not grumpy. you worry is right and it always has a reason. In some countries, they can use ID to borrow money and trouble will belong to the person who revealed the identity. so we should not publicize and send our IDs to project owners. they will definitely sell our information and use it for bad purposes.

[zeze18]

The KYC process annoys the hell out of me. I remember a time when you could trade coins freely and without owning up to your identity at all. Not that I'm hiding anything, I just don't like every man and his dog having a copy of my government ID - I feel that's very intrusive. I mean the whole idea of cryptocurrency was anonymous peer-to-peer trading without government intervention. Now it seems you can't fart in the wrong direction without someone breathing down your neck.

I mean I get it, exchanges, ICO's, etc, want to be on the safe side -- although what I really object to is these places accepting my crypto first and then telling me that I need to give them a mugshot if I want to use it, or withdraw it again. It's a nightmare.

Anyone else a bit miffed with all this identity craziness we're in right now?

Or am I just being a grumpy old man?

But it's good due to many people have several wallets.
I think the purpose of crypto is not hiding the identity, but the usefulness of the transaction itself

[raymondspeaks]

I agree and that's one of reasons preventing mass adoption.  People won't use crypto if they have to do KYC every time they need to use a service.

On the other hand, a lot of ICOs or crypto services shouldn't need KYCs. For example, EOS hasn't done any KYC in their coin sale and it got listed in almost all exchanges including Coinbase.

Try to stay away or at least be very cautious about anything that asks you to do KYC.

That's good advice right there.

I thought Staramba was a great idea. Not for the money, but I liked the idea of having my own virtual real estate. I bought about 0.3 btc worth at current prices. Now they are asking me for KYC to even access it. Crazy right?

[Jpti]

Satoshi was and is anonymous and so is his idea. If we go by the principle of Satoshi, our identity is not exposed when we transact. But lately, KYC has almost become necessary for clients to get rewards or trade. Why this sort of identity is necessary? But over time, the market is expanded and widened over time. And maybe so is the principle of cryptocurrency, making it mandatory for KYC information. Lets hope for better of cryptocurrency.

[NghtRppr]

The purpose of cryptocurrency is to be money. KYC doesn't really have anything to do with that. I think DEX's are the future but they currently have problems with liquidity and user experience.

[Ucy]

It's unfortunate but what can we do.

We always have to stay decentralized to avoid such intrusions or violations.

My advice is to remain in the "Circle" if you are inexperienced. .  Always expect the worst from crypto world once you step out of the Circle.. . Circle in our case is decentralization.

[Niam_bakri]

The purpose of cryptocurrency is to be money. KYC doesn't really have anything to do with that. I think DEX's are the future but they currently have problems with liquidity and user experience.

indeed has nothing to do, but all exchanges except for the decentralized exchange is now almost all asks for KYC. and that is part of the security. who wouldn't want to be more secure with their assets? We have to think positive, where there will be no misuse of documents that we provide. but it remains vigilant on Exchange bad and not trusted.

[forexandcryptoauditor]

To some extent you are right. I also don't feel good to share all my information to exchanges and projects where I invest, but when it comes to safety of my investment, it feel comfortable with KYC process.
Since it's applicable to all users, there are less chances(no 100% guarantee) to loose my money due to fraud from other user. Even if any then can be traced immediately.
At the other hand, since cryptocurrencies world is not regulated yet, many governments are enforcing kyc process to track money laundering and tax stealing.

[kakade]

At present there are many ICO projects that use KYC. And even though many mercenaries protest against KYC. KYC continues to run and there are many bounty hunters going through the KYC process. I am personally very selective in choosing projects and choosing those who do not use KYC.

[Adriano2010]

I also don't like to do KYC for use a crypto coin, sell, buy, indeed you are right KYC defeats the purpose of crypto. Why i should do kyc to buy or sell or send a coin when if i want to get fiat money to my bank i already have kyc and they see the money coming from a provider who accept crypto deposit. But for some exchanges if want to withdraw high amount on 24 hours they ask KYC because of money laundering.

[yulchatar]

I agree and that's one of reasons preventing mass adoption.  People won't use crypto if they have to do KYC every time they need to use a service.

On the other hand, a lot of ICOs or crypto services shouldn't need KYCs. For example, EOS hasn't done any KYC in their coin sale and it got listed in almost all exchanges including Coinbase.

Try to stay away or at least be very cautious about anything that asks you to do KYC.

That's good advice right there.

I thought Staramba was a great idea. Not for the money, but I liked the idea of having my own virtual real estate. I bought about 0.3 btc worth at current prices. Now they are asking me for KYC to even access it. Crazy right?

Yes, this is true. Cryptocurrency just conceived, as something safe, independent and anonymous. And KYC, undoubtedly, violates these principles. This procedure must be modified to suit both parties - the ICO project and the investors.

[slashz9]

I agree, however, if you want to trade, you have to do it, indeed not all countries legalize crypto so that there are countries that really allow them to trade but must continue to do Kyc, in my country KYC is required to withdraw crypto money and exchange it to fiat, maybe this the purpose of avoiding money laundering, or other bad intentions.

[styca]

The KYC process annoys the hell out of me. I remember a time when you could trade coins freely and without owning up to your identity at all. Not that I'm hiding anything, I just don't like every man and his dog having a copy of my government ID - I feel that's very intrusive. I mean the whole idea of cryptocurrency was anonymous peer-to-peer trading without government intervention. Now it seems you can't fart in the wrong direction without someone breathing down your neck.

I mean I get it, exchanges, ICO's, etc, want to be on the safe side -- although what I really object to is these places accepting my crypto first and then telling me that I need to give them a mugshot if I want to use it, or withdraw it again. It's a nightmare.

Anyone else a bit miffed with all this identity craziness we're in right now?

Or am I just being a grumpy old man?

I think the problem is that crypto started out very small and niche, with low coin prices, anonymity and everything operating under the radar... but many (most?) people who have been buying coins in the last few years (myself included) want prices to rise. However the way prices rise is by bringing in new money, and crypto becoming ever bigger, and ever closer to widespread mainstream adoption... but an inevitable consequence of this process is that governments and regulatory authorities start to take notice, and they have a duty to protect consumers/citizens, and a part of that is all the AML and KYC requirements. It's just an inevitability really as crypto expands, you can't have the higher prices without sacrificing some of the ideal.

[bitsurfer2014]

This KYC thing has become a dilemma for the cryptocommunity but I guess it will always be a part of this ongoing crypto evolution which will paved the way for a greater mass adoption. Although people are somewhat reluctant to do a KYC process because its a bit annoying at times, they still have the power to choose whether to go with it or not or find other alternatives. But if we don't have something to hide, I guess it would be okay for most of us especially when our own money is on the line.

[Pamadar]

This KYC thing has become a dilemma for the cryptocommunity but I guess it will always be a part of this ongoing crypto evolution which will paved the way for a greater mass adoption. Although people are somewhat reluctant to do a KYC process because its a bit annoying at times, they still have the power to choose whether to go with it or not or find other alternatives. But if we don't have something to hide, I guess it would be okay for most of us especially when our own money is on the line.

It's between traders and investors judgement whether to comply or not with this KYC procedure, it's an optional thing that can be done freely, and as what you have mentioned, it's your money to take care of so better to be more careful doing something that involves your financial assets.

[Kingairdrop]

You kept mentioning how cryptocurrency is affected by KYC, but you forgot to mention how you can actually own your own cryptocurrency through decentralised exchanges that keeps you anonymous and out of the public eyes. KYC is a necessity in this Current space but it will not last forever

[prtty2gal2]

It's really a shame that where crypto is heading is not anonymous  but at the same time it will be easier to track cheaters, hackers, stolen coins now that every participants must prove they  are real with KYC procedure

You are right about this, this is where these idiots you mentioned has pushed us to, they want to defeat the objective of cryptocurrency, but we don’t have any choice, we have to just work by the rule for safety purpose, at least we are still getting benefits through the system which already outruns the lapses.

I think we still have the freedom and choice to pick from, if we are not comfortable to play by this rule, we can as well not participate in any of these projects or exchanges making this request, I believe we still have some projects that would not request for KYC and I think it is also high time we impose the KYC requirement to these project teams too, I don’t know how it will work but I am sure we will all come up with something.

[mindrust]

I see you all are complaining about KYC but then I see the empty order books on bisq. Something doesn't fit the picture here. Cryptobridge is another dex and it works pretty decent yet I don't see good volume there neither.

Only If you used those exchanges more than you talked, we would have had more liquidity on those exchanges. :/

[necromastery]

KYC was introduced because anonymity has become too dangerous today where terrorists and fraudsters trade in crypto but I agree that only banks should ask us for KYC and not these regular exchanges, ICOs and so on. They are not regulated by the Government to ask us for such personal information.

However, in order to deal with those who do the bad things, then KYC is needed in every ICO and in the exchange. Even though we know it is not safe for us, we are forced to do so to get our own will.

[Mikell556]

The KYC process annoys the hell out of me. I remember a time when you could trade coins freely and without owning up to your identity at all. Not that I'm hiding anything, I just don't like every man and his dog having a copy of my government ID - I feel that's very intrusive. I mean the whole idea of cryptocurrency was anonymous peer-to-peer trading without government intervention. Now it seems you can't fart in the wrong direction without someone breathing down your neck.

I mean I get it, exchanges, ICO's, etc, want to be on the safe side -- although what I really object to is these places accepting my crypto first and then telling me that I need to give them a mugshot if I want to use it, or withdraw it again. It's a nightmare.

Anyone else a bit miffed with all this identity craziness we're in right now?

Or am I just being a grumpy old man?

I still do well without KYC identification. I participate in bounty campaigns and ICO where I do not need to do KYC. I trade on centralized exchanges where KYC is not required. If all people did this, the KYC would stop asking. However, people are greedy and ready for the sake of profit to give up anonymity and go through KYC identification.