Too strong KYC

[nullius]

stop people from doing money laundering.
KYC helps solving certain problems such as hiding income taxes, stealing money from other people,

Stop being paranoid mate
The reason why they establish KYC is because they want be protected against scammers. I hope you understamd it .

I don't blame them for KYCs
I've complied
With cases of stolen funds and hack attempts, they're dealing with large amounts of BTC.

<blink>YOU ARE THE PROBLEM.</blink>

<img src="mushroomcloud.jpg"/>

:weeping_satoshi:

Kyc is a way of proofing an identity or ownership of something against possible frauding

An Essential Introduction to Bitcoin for Ill-Informed Newbies:

In Bitcoin, ownership of funds is exclusively proved by control of the cryptographic private keys that can be used to satisfy the output script for a UTXO (i.e., a “coin”).  This is why it is called “cryptocurrency”.

The foregoing is no mere semantic quibble:  I have just stated the purpose of Bitcoin.  Absent that purpose, Bitcoin would be only the world’s slowest, most-expensive, least-private, most horrifically inefficient financial database; and it would be idiotic to use it for anything.

If you have the private keys, it is your Bitcoin.  If you do not have the private keys, it is not your Bitcoin.  Not only does KYC fail to augment these rules:  KYC is incapable of contradicting these rules.  Observe that if I have Bitcoin (i.e., if only I have the private keys), then no exchange, no government, and no court can freeze or seize it.  Indeed, centralized exchanges can only impose KYC because when you use their services, you do not own the Bitcoin:  They own the Bitcoin.  If you are a good little doggie and roll over on command, then they may be charitable and let you use it—or maybe not.  If they decide that your KYC just ain’t good enough, then you will rapidly discover that “your” Bitcoin is not yours at all; and I will laugh at you.

HTH, HAND.

[techbill]

It's pretty frustrating. I recently got a new phone so my 2 factor needs to be reseted. The fact that I know my password, trading code, test questions doesn't matter, I have to show them ID. The thing is that if I were a hacker I could just get somebody else's ID and get access. They won't know.

[Negotiation]

The other Question is how we can trust someone who collection our Information?

This is the real question to discuss because there seem no law proscribing any of the site from using the information provided from using it against the investor. I try to avoid it if it is not necessary for me, I mustn't invest in every project.

It seems to me that it is good not to enter the ban on the side that is banned because we have to suffer a lot It is better not to work where there is no guarantee of work The KYC is just as powerful at work as it is.

[Linkkoin]

Its just how things are this time, there is no other way than to comply the law.

In accordance with the legislation - $1000 and above requires verification each time anyway, but you need as well to check all transactions with "unusual patterns" and "without clear economic purpose". And this is one of the reasons why the verification process is extended even for very small amounts.

[CryptoVzla]

to be honest airdropper from my country indonesia doesnt reallly mind about the estimation of how much they give to do kyc , for example the new exchange just launch then they promised people 5 buck of their token for those who doing or pass the kyc on their exchange, people on my country still do it because of what? because 5 buck is big in indonesia that they could get 75k idr which you need to working 12 hours to get this money in indonesia.

[mandor]

actually I don't like KYC, providing personal information in my opinion is too risky but I cant do anything cause most exchangers require KYC to be able to WD

yeah me too, but nevertheless we must follow that's rules if we want to be able to withrawal and KYC has become a rule that has been set at every exchange. indeed many people do not like on KYC including me but it is inevitable because it has become a fixed rule for at this time.

[palle11]

Lately, some project team have started including KYC in the reward. But it is nice to make it clear from beginning so that you have a choice. KYC is good in project, at least it could make a statement that the project can turn out to be good. I can join KYC project.

[Soldierswitlittlefaith]

Guys if You want to trade on localbitcoins
Just little ammount like 30-50 $ you are going trhough some very Strong KYC.


THE Question is is that really Neccessary?
The other Question is how we can trust someone who collection our Information?


I think this is serious subject!





Instead of Checking the regular retail trader  nobody Don't check what the Exchangers are doing?  They can do what ever they want its no laws Wild West still!


My Question is Why the retail trader are most checked?  You do KYC Even for small money?
And You are giving ur Information to just someone who might do Something Bad with it.

KYC is required by law in most jurisdictions in order to stop people from doing money laundering. If you're using an app that doesn't use assets or things that have value which
can be transferred, you are most likely not required to verify with KYC. Instead, KYC helps solving certain problems such as hiding income taxes, stealing money from other people,
etc.

Now the problem is that some COMPANIES can use KYC for malicious purposes. For example, an attacker could run a "trusted exchange" and collect your KYC details to create an account elsewhere.

If you want to trade without KYC, I may be totally wrong however I think you need to go back in the past: 2013 - 2015 is calling you baby! I doubt there are places exchanges without KYC. You can bypass
KYC if you trade in person and find buyers/sellers in real life.

@CristianOff, did you notice that the guy who started this thread said "....even for a tiny amount..."?

Yes, even for a small amount you are required to verify your ass in & out.
Well, i bet there are already losing ton's of their customer's. let's who is going to pay their hosting  & mainteinance fee's within the next couple of year's.

Thanks
Soldierwitlittlefaith

[barumbado]

I dont like giving private information about myself,But many sites like some exchanges requires atrong KYC and i have nothing to do but to comply.I am forcefully submitting it because its needed.But how sure are we that the document we sumbit won't be use into some illegal activities?I should be careful then.

[Ranie]

The basic idea of KYC is to gather necessary information about you, enough to stop you from performing financial crimes. Most companies both traditional or cryptocurrency based follow jurisdictional policies implemented by the government. These companies are required to implement these policies so far they are conducting business in line of finance.

However, the case that we see in the crypto space is that almost every project requires you to submit your personal information before you can mostly purchase their token or perform any thing on their platforms. It is more particular about cryptocurrency exchanges. All exchanges excel DEX, no matter how small will ask you to upload your details.

Threat & Risk
It is no longer safe to just leave your details and personal info flying around on the internet. Most of these companies and random exchange ls that ask for personal info are not substantial enough to be trusted. The risk is that your info could be used in very malicious manner or even traded to data companies while making massive gains on your personal info.

Personal practice
Many times I have come in need to register on very small and unpopular exchanges cos I need to buy or sell some tokens. If it is so dare and I don't trust the exchange enough, I ball. However, bigger exchanges like Binance, OkEx, Huobi and Gate.io could give you much better relieve and trust — this also is no guarantee that it data won't be used. But there is this feeling of calmness that comes w/ using big and established exchanges.

[vaultman]

KYC is useless. You can buy id on black market. So there is no problem for scammers. Problems with KYC will be created only for honest people, since not everyone wants to send their data to the Internet

[philipma1957]

KYC is useless. You can buy id on black market. So there is no problem for scammers. Problems with KYC will be created only for honest people, since not everyone wants to send their data to the Internet

Its not useless if you want to fully report and pay tax it is fine.

If you want to be 100% off the books 📚 then it is a struggle to use the coins as

basically most if not all  online kyc gets hacked sooner or later.



the incentive to hack is too great.  major companies that maintain security are hacked every year.

[nullius]

:weeping_satoshi:

A thread in Beginners & Help has much more serious discussion than this thread in “Serious Discussion”:

Why KYC is extremely dangerous – and useless

All of us are afraid of losing money due to hacks, scams, our own mistakes or even bad decisions (buying useless shitcoins, selling coins too late or too early, etc). Most topics cover issues such as these. But when it comes to losses, you should be aware that there’s more than money which can be lost. By this, I’m talking about identity theft of personal data of any kind. Protecting this data and paying attention to privacy should have at least the same priority of protecting your money. After all, money is replaceable; it’s "only" a financial loss. Once identity is stolen, however, there is no chance of its undoing.

This is where the issue begins. One of the best ways to protect yourself from identity theft is to understand the false assumptions of KYC. Some crypto services require its users to undergo a so-called “KYC” nowadays. KYC means “know your customer” and forces users to send personal documents to a company or organization. This is already becoming a problematic issue that some companies are very strict and will not allow you to use their services, even if you just want to purchase crypto worth only a few hundred dollars.

The official purpose of KYC should be to prevent money laundering (known as AML, anti-money laundering) and terrorist financing. Strict KYC and AML were mainly introduced by the US after 9/11 and many countries are guided by the SEC in setting KYC as a requirement. AML existed before but only for institutions and big amounts of money. Average customers were affected only after restrictions introduced by the SEC.
At first glance, KYC sounds good for shutting down criminal activities. Unfortunately, this looks very different in reality. KYC in crypto doesn’t necessarily help to stop money laundering or reduce criminal activity; nor does it help to prevent terrorist financing. On the contrary - KYC endangers our privacy and encourages criminal activities (via KYC scams, identity theft and other means).

[—long, thoughtful post—]

Read the whole thing!  (If you are serious, that is.)

[Cratoon]

It's simple.

If you move around Huge Money you want every partner (exchange) to hold your ID details so you won't have problems proving that transactions did occur on your part.

Most websites that use KYC feature have a third-party KYC processor who holds the data secure. Still, use your own research on each KYC demanding project as these policies differ a lot.

[nullius]

It's simple.

If you move around Huge Money you want every partner (exchange) to hold your ID details so you won't have problems proving that transactions did occur on your part.

It’s simple.

If you move around Huge Money (or any money!), you want to use private keys in your own wallet—“Not your keys, not your coins!”—so you won’t have problems proving that transactions did occurr with your digital signatures on the blockchain.

Most websites that use KYC feature have a third-party KYC processor who holds the data secure. Still, use your own research on each KYC demanding project as these policies differ a lot.

I advise that you read through a thread with much more serious discussion of the “KYC” issue than this “Serious Discussion” idiot-thread, and heed the advice thereby from people who understand this subject as you assuredly do not.

When someone is doing KYC, they are forced to hand out parts of their personal identity to a third party (such as an exchange, ICO, etc). After that point, they aren’t in control of the process anymore and are totally exposed on the third party to handle their sensitive data safely. If something should be hacked, the affected people can't do anything.

I suggest not to try KYC with websites that do not have a third party KYC Service, having a third party service will make your mind at ease but of course, a reputable service just like Binance is using "Refinitiv" is decent one.

Why is a company using a third party service safer? I'd argue the exact opposite. Companies often tender this out to the lowest bidder, who invariably have very poor security. It also means your KYC documents are being shared around with more people and with third party companies, so there are more opportunities for a malicious employee to access them or a hacker to steal them. Your Binance example is a poor one considering they were hacked for thousands of users' documents and information just a few months ago.

I’ve never submitted to any “KYC” identity-rape doxing for anything whatsoever even remotely related to Bitcoin.  On principle, I never will.

Edit, P.S.:

you = 🐑

[Smartvirus]

Know your customer popularly known as KYC has never been a bad thing in business besides, who wouldn't love to know his or her customers in order to serve them better. KYC is put in place to ensure only authorised persons performs certain transactions on a platform which is very much of a good thing but then, it's of no doubt that that which is meant to serve for the greater good can be used to commit the most evil too as, you know not whom is handling this details, for which purpose it might be harnessed and used and by whom as it might not necessarily be on the same platform.

Why we are busy being known individually by our service providers through KYC,
Do we know our service providers, the guy at the order end? Or should I say, we should have a Know Your Handler (KYH)! This is just me and I didn't get that from anywhere if I may.

[Bossian]

Epayments who got in trouble with the FCA may have used collected personal documents for money laundering purpose. Read this: https://www.offshorecorptalk.com/threads/epayments-may-have-a-hidden-agenda-be-warned.27167/
Thread was started just a few months ago before Epayments froze everyone's account due to license being removed. Be careful.

[iTradeChips]

In my experience, Binance already has some top notch KYC requirements and many so far has not complained about it. I mean if the people who do business on Binance are willing to do KYC then it is ok for me as well. If you value your anonymity and don't want to participate in KYC then go to other exchanges and services that doesn't require on that. It is just that KYC is a non issue for me as I am a law abiding citizen.

[CryptocurencyKing]

The only reason behind people not wanting to go through KYC is when the security of the system is questionable. Most sites or platforms have got loopholes in the security of there system and as such, a hack is very much possible hence, in  ages as this, not just the coins but also, the privacy details is theres for the taking.
In this regard, some sites are more advance and secured than others and the credibility of its team not questionable hence, running a KYC on a trusted exchange isn't a bad idea. You've just got to enroll for a smooth running of business. Binance is okay and I can recommend them to anyone but, its always up to you.

[iTradeChips]

Yes no kyc means you can do 100 accounts and trade 100  dollars worth of coin 100  times.  That would be 10000 dollars. That is a common money laundering number 10000 level.

Furthermore, there are scammers that open 100 accounts and trade among themselves and give each other good feedback. After 6 months, those accounts have good reputations and the scammer would burn them all with exit scams - usually buying BTC for PayPal and then doing charge backs claiming that the charges were not authorized.

This won't be possible if each account is tied to a unique person which is not possible without KYC.

For me KYC is protection, plain and simple. I don't know about the OP but I don't have any issues with regards to KYC. If you're a law abiding citizen and you deal with a company that requires KYC but at the same time is a respectable company that is approved by the government to do business with cryptocurrency, then I know my information will not be used for some scams. I think the purpose perhaps of this thread is maybe to put information to fragile minds the disadvantages of KYC. Well, 'sup to you to decide.