Is KYC bad for crypto?

[thisnewcoin]

Yes, it is! we are not safe in crypto even this is a decentralized industry, where anonymity, freedom is the first priority! We were good but some shit ICO projects started this KYC thing. I had to submit my KYC documents to some projects and now I feel not safe because those projects deceive investors and bounty promoters! KYC is harming the common nature of crypto, there were many talks against it but yet some projects/exchanges still asking KYC verification!  

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[MCDev]

KYC has a good and a bad side for the cryptocurrency market.
Bitcoin and the cryptocurrency market are designed to help people get rid of central banks and stay anonymous in the market. At this level it is clear that KYC is fighting the cryptocurrency market.
But KYC also contributes to helping people get rid of scams and helping people protect their assets on exchanges.

[Ozero]

KYC is very inappropriate for cryptocurrency, this is a big mistake. Users do not need to do KYC, which is appropriate to do KYC is a large exchange so that they do not go with the user's money. For users, it might not be a problem doing KYC if they have a large amount of funds in the exchange in order to be able to save their funds when the exchange is hacked.

Cryptocurrency was initially anonymous or relatively anonymous. We are also lucky that the states did not unite in the struggle against it, since it completely contradicts the interests of each individual state. Through FATF recommendations of June 21 last year, KYC is introduced for transactions over one thousand euros. Cryptocurrency enthusiasts should enjoy such a compromise, otherwise events could develop much worse. I myself am against KYC and any identification when working with cryptocurrency, however, I understand the need for such a step in large transactions.

[Slingshot]

I wouldn't say kyc is good nir bad in Crypto but both has thier good and bad impact in crypto. Hackers hacks exchange that isn't strong and probably steals users kyc or expose it which meant to be private and also kyc is needed to secure once funds to avoid one scamming the system. I have seen a situation where someone's kyc was reviewed because hackers invaded the exchange and I know if exchange that doesn't accept withdrawal without kyc too.

[pgbit]

I don't think crypto is bad at all, it has a purpose. How can you detect a scammer if there is no verification system? I don't think there is anything available in the open world that is 100% Anonymous! 100% anonymity is for the dark/dip web! KYC is necessary to avoid bounty cheating, exchange hacking. You can't run from it, because right now every good project/exchange asks KYC verification! 

[acdc]

I do not like KYC but I think that in some specific situations KYC is necessary for users in the cryptocurrency market.
Cryptocurrency markets still have to follow common rules so being completely anonymous is unlikely, governments want to collect taxes from cryptocurrency transactions and prevent criminals from using cryptocurrencies for illegal purposes.
Perhaps KYC will restrict the privacy of everyone in the cryptocurrency market but for the time being it is necessary for the market to grow better.

[pgbit]

I wouldn't say kyc is good nir bad in Crypto but both has thier good and bad impact in crypto. Hackers hacks exchange that isn't strong and probably steals users kyc or expose it which meant to be private and also kyc is needed to secure once funds to avoid one scamming the system. I have seen a situation where someone's kyc was reviewed because hackers invaded the exchange and I know if exchange that doesn't accept withdrawal without kyc too.

Exactly! KYC is not bad only, it has a good side too, that's why we need it! Once I hated KYC procedure but later I understood why new projects are asking KYC verification and why Binance, Kucoin asks KYC! This procedure helps to protect the crypto space from the bad people!

[YOSHIE]

This makes me to believe that KYC does more harm than good for crypto.

For me there are two factors for kyc on crypto like people say, good and bad.

Good and bad, it becomes a matter of conversation and debate.

* If an investor buys certain crypto that has good value in the market, it must be prioritized with KYC virification system, to prevent fraud.

* And if someone is in the bounty bounty and the token delivery rules are based on kyc verification, I don't trust it and will never give my original ID to the bounty token with no potential.

These two factors are pros and cons, one side kyc for crypto is good and on the other side kyc for crypto tokens is very bad.

[MUG1WARA]

On good side I strongly agree with the application of KYC because it helps secure the assets we have from some scammers
On bad side, I am very worried that our identity has been misused by them for a future crime
One of the concerns for me to date is the BCNEX exchange, they asked us to do KYC on their platform but now it looks like they are one of the exchange scam so if it is proven they are a scam in the future I only hope that my ID and documents leave it not in the wrong use

[Nasonn]

Yes it is. Cryptocurrency is about anonymity when you require people to pass through kyc especially those kyc process that's rigorous requiring detailed information about a person then it goes beyond what cryptocurrency stands for. I propose the case of kyc be scrapped from the space.

[Teawhalee]

Over times people have said it to be a necessary evil for this space. For the fact that it wasn't initiated at start and there was no regulation bodies to control thing has make it more difficulties to control. That's the stage we are now.

[pgbit]

I don't think crypto is bad at all, it has a purpose. How can you detect a scammer if there is no verification system? I don't think there is anything available in the open world that is 100% Anonymous! 100% anonymity is for the dark/dip web! KYC is necessary to avoid bounty cheating, exchange hacking. You can't run from it, because right now every good project/exchange asks KYC verification! 

How can you know that verification system is effective? Say for example, I was looking out for ICOs back in the days when I managed to visit sites like ICOBench wherein I also read an article about the exposure of the site that they're rating ICOs high because they're paid and if I can recall correctly, they're paid around $500 for 5 stars.
I think with that high of a payment even KYC can be faked that easily.

You are right! Bad people never stop, they always find a way to scam people! But you can't win every match, one day you will lose badly! It means maybe you can scam the KYC procedure, you can photoshop it. But if the project is strong then they will verify your KYC documents manually and you will be caught by red-handed if you fake the KYC! I have seen in temtum bounty, where all the scammers were washed out because the KYC was managed by a well-reputed party and they verified carefully!

[xiboothrezi]

KYC / AML in the crypto world indeed caused quite a debate. On the one hand it is necessary to create a conducive ecosystem that can strengthen trust between buyers and sellers, and minimize criminal acts. In this further stage, it can strengthen the opportunity for cryptocurrency as a legal alternative payment, right?

One point that I don't agree with:

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This makes me to believe that KYC does more harm than good for crypto. Of course, regulation is necessary in order to legitimize the industry in its entirety. Institutional investors, conglomerates, and other entities will find crypto regulatory-compliant for their own needs. But knowing that KYC goes against crypto's principles, could make the entire industry similar to traditional banking.

The existence of KYC does not make the blockchain ecosystem centralized, this assumption arises because conventional systems are centralized using KYC, right? for me, the act of monitoring does not make the blockchain centralized, it is not that simple, on the other hand we know that the blockchain is very open.

In this case, I am talking about trusted exchanges with clear terms and conditions and want to provide consumer protection in accordance with applicable regulations. So be careful doing KYC, because it is your personal data, be selective in providing data, ignore shitexchange let alone airdrop asking for KYC with cheap rewards.

[Jannyh]

Well as we know kyc means know your customers,well might not be bad for investors but then we know the principal if Blockchain which is anonymity friendly, and in a decentalized crypto world,what do we need kyc for? Know your customer should be totally erased from the crypto community ,It defiles the Blockchain principle.

[Maturnuwun]

in general KYC is your personal data, in the event that crypto or a project promoter performs KYC against the risk with your data. because in the crypto industry is a free world and you need to be vigilant before carrying out the KYC procedure to get free tokens in the form of any gifts.

[Denreal]

It is better we push for total decentralization, than to be partial about it. We say that we are dealing with decentralized coins and decentralized projects, but our personal data are not handled with the utmost privacy. Those projects team that come up with such rules will never tender their personal details to the public because they understand the implication.
We are just exposing ourselves to unnecessary problems if we decide to give out our personal details to strangers because they are people that we do not know. We might not even come across them in real life.

[qazgroup]

Obvioisly kyc requirements do go against the decentralization concept of the cryptos but now we have to accept the fact that without kuc no government or authority will let anyone to do financial transactions, so anything that involves money governments will want there data obviously for the purposes of taxation, source of money and to tackle money laundering and controlling financial data.

[XCANA]

The cryptocurrencies wasn't meant for those KYC for those whom choose to use their identities. But for me am not usually compatible with the disclosure of my real identity. The real meaning of the existence of cryptocurrency wasn't for real identity but for anonymity. But many have chosen to sell out their real identities to exchanges all because of some little dollars from team developers. Personally, I will never get involve into giving out my real identity because of theft. Keep safe from hacks and keep your identity safe.

[Utoy101]

The concept behind blockchain and cryptocurrency was to provide a decentralized financial system where everyone have absolute control over there financial lives by having access to various mechanisms that will enable value transfer without the intervention of intermediaries and as such, it frowns against disclosure of identity as it's core function preaches anonymity of financial system. I think the cryptocurrency sector is pushing too far to get adopted by the outside world and government that's why regulartors are getting involve to set rules similar to that of the traditional system.

[Hellkas]

I think that it`s not always comfortable for people to pass KYC, because they came crypto due to anonymity. but it`s necessary step for exchanges and crypto projects, because there are a lot of abusers which can steal a lot of money from crypto projects