Is KYC benefit to crypto people or not

[o_e_l_e_o]

The main advantage of KYC policies has to be reducing scams and money laundering,which is questionable.I don't think that KYC really works for fighting those crimes.

In some cases, it has the opposite effect.

Remember the Quadriga exchange which exit scammed a few months ago? It was shown that prior to the scam, they transferred large amounts of various cryptocurrencies to other exchanges to sell. The Quadriga exchange required full KYC procedures, meaning they had all the information required to open up new bank accounts or exchange accounts in the name of any of their users. It is quite possible he was laundering stolen funds in other people's names without their knowledge to avoid detection until after his death (if you believe the story that he died).

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[bryant.coleman]

IMO, KYC should be mandatory only if the annual trade volume exceeds $10,000. I have also done KYC for many exchanges and actually it is frustrating to go through this process, so that I could convert $10 worth of my tokens to BTC or ETH. On top of that, we don't know who are running these exchanges. Many of them are being run by individuals of shady character. You can check any of the dark markets which are active now, and you will notice many listings offering KYC documents for sale. My question is from where these KYC documents came from. For me, it sounds obvious that many of the exchanges are accumulating the documents from the users, and then selling them for profit to third parties.

[Muzika]

Is KYC is benefit to crypto people or not. what are the advantages and disadvantages of doing KYC.

Universal money and Anonymous is the biggest strength of btc BTC, now every country follows KYC and then it can be controlled by someone.


Now KYC is trend in crypto market.....

KYC is recommended because the team are following the rules of the country where they are residing, it is a good thing but they should strengthen the implementation. It is also good thing because people in the future it will help to legalized the crpytocurrency.

For some, they dont want KYC because they dont trust the process, their identity are not safe because people might used and control their identity without their knowledge.

[omonuyak]

IMO, KYC should be mandatory only if the annual trade volume exceeds $10,000. I have also done KYC for many exchanges and actually it is frustrating to go through this process, so that I could convert $10 worth of my tokens to BTC or ETH. On top of that, we don't know who are running these exchanges. Many of them are being run by individuals of shady character. You can check any of the dark markets which are active now, and you will notice many listings offering KYC documents for sale. My question is from where these KYC documents came from. For me, it sounds obvious that many of the exchanges are accumulating the documents from the users, and then selling them for profit to third parties.

The major aim of crypto currency and bitcoin is doing business without third party like bank and governments knowledge but kyc makes us to provide the information that allow government or financial institutions know our identity and as such violate the aim of bitcoin and blockchain business. The people that we provide with information about our address and picture maybe terrorist or rapist and as such I don't think it will be good to kyc in exchange that the owners are anonymous.

[Kakmakr]

It is only beneficial to the people who cares nothing for their financial privacy and for the people who wants to control and monitor other people's financial secrets. The government does not want people to have any financial privacy, so they want to force KYC/AML reguirements onto Bitcoin users, but for people who care about financial privacy.. this is the last thing they want.

We can expect a lot more regulations forcing people to relinquish their anonymity to be able to use Bitcoin <Crypto currencies> legally in many countries.

[gentlemand]

Of course not. There is absolutely no benefit to a user whatsoever.

It's the price you have to pay if you want to interact with the majority of services these days. They don't want to do it either. It costs them a humongous amount of money and time. That's the price they have to pay to be allowed to operate.

We could feel better disposed towards it if it helped catch scammers, but of course they're using fake ID obtained elsewhere so it's effectively useless to stop terrorists, money launderers and drug dealers anyway.

[Leyss]

Of course, KYC does not provide any benefit to people. Moreover, it is fraught with great danger of using our confidential information and copies of our documents for illegal purposes. Therefore, I believe that we can transfer our confidential data only to government agencies or authorities that control government agencies. Also, the KYC check itself should be carried out only in the stipulated cases, otherwise now it is carried out by anyone it pleases. This is especially true for ICO teams, who themselves are very often fraudsters.

[FanEagle]

It both does a bit but also doesn't. Now if KYC is applied to exchange on the request of government and then exchange gives those information to government it is a bad thing for the user because you may not want your information and your trading known by the government, you want to keep your bitcoins and crypto all secret maybe or at least don't want government to put their nose in these things.

However, it is also a good thing because when regulated you can continue your operations without interruption, they are asking for KYC and exchange pays their taxes so everything goes according to law and no problem arises and you get to keep trading however you wish to without worrying about IRS coming through the door. Hence, it is both a good thing but also a bad thing.

[Baofeng]

I'm not a fan of KYC, but the thing is almost all exchanges are being pressured by some entity to enforced it so it really saddens me to see as the 'best' solution to this new market. What will happen to my personal data? How will I know that they are protecting it and not selling to a third party to incentivized it? So there are a lot of cons and pros as well so it really up to us whether we are going to succumb to it.

[bryant.coleman]

IMO, KYC should be mandatory only if the annual trade volume exceeds $10,000. I have also done KYC for many exchanges and actually it is frustrating to go through this process, so that I could convert $10 worth of my tokens to BTC or ETH. On top of that, we don't know who are running these exchanges. Many of them are being run by individuals of shady character. You can check any of the dark markets which are active now, and you will notice many listings offering KYC documents for sale. My question is from where these KYC documents came from. For me, it sounds obvious that many of the exchanges are accumulating the documents from the users, and then selling them for profit to third parties.

The major aim of crypto currency and bitcoin is doing business without third party like bank and governments knowledge but kyc makes us to provide the information that allow government or financial institutions know our identity and as such violate the aim of bitcoin and blockchain business. The people that we provide with information about our address and picture maybe terrorist or rapist and as such I don't think it will be good to kyc in exchange that the owners are anonymous.

Terrorists and criminals don't care about the KYC. Do you really think that they are stupid enough to use the exchanges? They'll be rather using peer-to-peer transactions, in addition to coin mixers. The real aim of KYC implementation is not to identify the criminals. The main purpose is to identify the users who are holding a large number of coins, so that the authorities can extract their pound of flesh in the form of taxes and penalties.

We all know what happened to BurtW in 2015. He was arrested for trading in Bitcoins (above the specified threshold) without a license. In the end, the charges were dropped, but almost all of his coins were seized and he had to spend almost his entire life savings in legal fees. Now this is the real purpose of KYC. For those who don't know about this incident, I advise you to go through this thread:

https://bitcointalk.org/index.php?topic=934268.0

[o_e_l_e_o]

the decentalized economy are now growing and being decentlized means fully anonymous  , they will never ask for your identity , for example when you use a decentralized exchange but they will ask for your private keys and other accesing method so that you can acces your wallet

This is wrong.

Decentralized doesn't automatically mean fully anonymous. To trade bitcoin with a third party, they will see the sending address, which may or may not be anonymous depending on how you use it, if you've mixed your coins, etc. To trade fiat with them (unless via cash or a cash transfer), they will see the bank, PayPal, Skrill, etc., account details. Decentralized exchanges are better in that they don't ask for KYC, but they are not anonymous unless you take steps to use them as much.

Also, no exchange should ever ask for your private keys, and you should never give your private keys to anyone. You either trade directly with a third party, with the exchange simply putting you in contact with each other, or you unlock an exchange account using a hardware wallet or similar set up. At no point should your private keys leave your control.

[silversurfer1958]

This is really a serious problem in providing our KYC for projects and exchanges. they cannot guarantee our information is safe. they will sell them to some underground organization and they will take advantage of our information to do something bad.
KYC is really not necessary for bounty hunters, it is only necessary for accounts on exchanges.
Here, I am suspecting this mystery from projects that want to get our information.
be careful and never provide KYC.

[Nellayar]

Is KYC is benefit to crypto people or not. what are the advantages and disadvantages of doing KYC.

Universal money and Anonymous is the biggest strength of btc BTC, now every country follows KYC and then it can be controlled by someone.


Now KYC is trend in crypto market.....

There are many people that hates KYC in cryptocurrency. In fact, they don't want to give their identity to the projects. Maybe, we know how does this industry works. And we all know that many scammers are waiting to copy our personal information. As a pro, we need to have sufficient background on the project that we will entrust our identity. So that, we can validate that our personal info is at the good hands.

[ufaiz50]

I think KYC is imposed because of E-business regulations, in some regulations that I read because of the development of technology and communication (internet), knowing who consumers are is to avoid further risks, although it is somewhat deviant from the freedom of transactions but because of that legal regulation in the country it cannot be avoided. The advantage of using KYC so far is that I have been lacking in this, maybe to further strengthen your account whether it's in crypto market or crypto wallet.

[Theb]

We're are at the time of the crypto industry where knowing a service/website is asking for KYC will make us instantly know that they are complying with the law, just by that only gives me as an investor a peach of mind that the business I'm sending/storing my money from is fully recognized by law and I'm somehow protected when some shit like hacks or them pulling off a exit scam happens. KYC is something that we need if we want that mass adoption to happen and we need to cooperate with what the government asks as to do so just like what other industries like the stock exchange and the forex has been complying for a long time now.

[hahay]

Actually, every rule that is made has a good purpose, but for some people consider KYC to be very useless, the reason is about scam projects etc. So from all that has happened, I think KYC will indeed be very good to apply and especially about investments related to money, because with KYC at least it can convince investors about a project that is committed to continuing to grow.

[jak3]

Losing your privacy is always good for the organisation, I know it helps in security and comfort and lot of stuff but the big thing is why do people want to protect their privacy in the first place. People want to protect their privacy because they don't want other people to know what they are doing right now or if KYC is beneficial then there should be options like how much information a user wants to share with others. And when they want to share or show the information to other members. of course, KYC is very beneficial if used correctly

[buharikx31]

Is KYC is benefit to crypto people or not. what are the advantages and disadvantages of doing KYC.

Universal money and Anonymous is the biggest strength of btc BTC, now every country follows KYC and then it can be controlled by someone.


Now KYC is trend in crypto market.....

I am not sure but most of the countries needs that for regulation purpose and that's why they are asking for KYC or the other reason is mainstream of taking KYC's because 3-4 years ago there was no KYC thing, only just make investment and wait for coin to get in to Market

[Hamphser]

Is KYC is benefit to crypto people or not. what are the advantages and disadvantages of doing KYC.

Universal money and Anonymous is the biggest strength of btc BTC, now every country follows KYC and then it can be controlled by someone.


Now KYC is trend in crypto market.....

Its a disadvantage to the people but an advantage to the company. KYC is used to get some personal informations and crypto people doesnt like that. Perhaps this is the reason they are here in this kind of investment in the first place.

At some point, people should know what is worth the risk. Is it giving their personal information for a small penny is worth it or giving their personal information worth it for such projects? They should seek what they could gain in return and not what they give while they take something. No matter what we do the government are enforcing to such companies to requires the KYC or else they won't get their business stand firm again.

[romecheo]

KYC was risky, and no use for us, instead, it can be used against us. It was intended for banks.

It somehow beats the objective of using cryptocurrency.

I am not comfortable doing KYC, whenever, I filled up a form, it looks like, I am exposing myself to danger.