It seems that KYC will be a must for all CEX users in Future

[magneto]

Today December 4th 2020 Bitmax exchange have announced to stop providing services to non verified users, no more withdrawal limit for not verified users, I'm guessing if every other crypto exchanges will follow this, binance for example, I use this exchange with out KYC verifications, for someone like myself who don't want to give any centralized platforms my ID i may have no choice let, what do you think?


https://blog.bitmex.com/deadline-passes-for-bitmex-accelerated-user-verification-programme/

I think it's a matter of time.

Although it must be said Binance is uniquely positioned given its lobbying power in countries with lax regulations (e.g. Malta) that will likely allow it to continue offering services at least to some users without any verification. But it's certain that these restrictions will only get tougher.

It's one of the side effects of institutional adoption and greater maturity of markets - you simply can't have both ways. To attract these institutional players that bring about greater liquidity, the ecosystem must be well regulated and certain counterparty risks are eliminated to the greatest extent possible. There is no getting around this tradeoff, unfortunately.

[nightflightcourt]

Today December 4th 2020 Bitmax exchange have announced to stop providing services to non verified users, no more withdrawal limit for not verified users, I'm guessing if every other crypto exchanges will follow this, binance for example, I use this exchange with out KYC verifications, for someone like myself who don't want to give any centralized platforms my ID i may have no choice let, what do you think?


https://blog.bitmex.com/deadline-passes-for-bitmex-accelerated-user-verification-programme/

I think it's a matter of time.

Although it must be said Binance is uniquely positioned given its lobbying power in countries with lax regulations (e.g. Malta) that will likely allow it to continue offering services at least to some users without any verification. But it's certain that these restrictions will only get tougher.

It's one of the side effects of institutional adoption and greater maturity of markets - you simply can't have both ways. To attract these institutional players that bring about greater liquidity, the ecosystem must be well regulated and certain counterparty risks are eliminated to the greatest extent possible. There is no getting around this tradeoff, unfortunately.

Pic related will be the biggest and one of the most critical fights within crypto

[Naitik]

Huobi is giving the daily withdrawal of 0.1 BTC for non verified users, you can try it too

[The Sceptical Chymist]

I'm guessing if every other crypto exchanges will follow this, binance for example

Binance already requires KYC docs as far as I know, at least for US-based customers.  And yes, you've obviously realized what I've suspected for a long time now, i.e., that these centralized exchanges are starting to become regulated by the governments of whatever countries they're operating in, and they're all going to require KYC from their customers in the future. 

I'm expecting exchanges like Yobit, Livecoin, and those "instant exchanges" like Changelly and others to start requiring personal info from their customers.  I have no idea when it's going to happen, but there's no way the wild west days of exchanges being anonymous is going to last much longer.  It sucks, but I understand why it's already started happening. 

Governments will say that they're doing this because of money laundering or whatever, but the fact is that they don't want their citizens to have any sort of economic freedom.  So yep, it's going to be a must in the (probably) near future.

[figmentofmyass]

I'm expecting exchanges like Yobit, Livecoin, and those "instant exchanges" like Changelly and others to start requiring personal info from their customers.  I have no idea when it's going to happen, but there's no way the wild west days of exchanges being anonymous is going to last much longer.  It sucks, but I understand why it's already started happening.

imagine handing your passport and bank statement to yobit. they'd probably turn around and sell it on the dark web immediately.

i bet there is massive regulatory pressure on binance.com to implement KYC right now. that's why they finally started geo-blocking americans last month. FINCEN (and possibly others) is all over them. that's who regulators want---the biggest exchanges in the world. tiny exchanges like yobit and livecoin will be the last holdouts.

Governments will say that they're doing this because of money laundering or whatever, but the fact is that they don't want their citizens to have any sort of economic freedom.  So yep, it's going to be a must in the (probably) near future.

they're getting worried about tax evasion IMO.

bitcoin---be your own swiss bank account!

[XZERO1]

That's pretty accurate I'd say, in next 5-10 years probably 99% of the centralized exchanges will require KYC verification and that will not be optional, even now it's not that easy to find a trusted centralized exchange that doesn't require KYC either at the time of registration or later down the road while you're using the exchange.

That's one of the reasons behind the popularity of DEX specially in this year, I believe not all of these exchange are happy about that either, knowing it can significantly impact the number of their active users and trading volume, but it's part of their jurisdiction policy and they have to comply with their rules if they want to keep operating there, so in some cases it's not really their fault.

[xz0708]

https://www.investopedia.com/mnuchins-crypto-wallet-legislation-meets-opposition-5091934

Privacy made bitcoin what it is today.  Few here would have been involved in early years if btc was a simple online bank account.  Unconfiscatablity allowed people around the world to exit failing fiat systems in home countries (MANY MANY - from middle east to latin america to asia and africa)  It is because these fiat refugees were able to save themselves from plunder that people began to 'TRUST' in btc.  If people can no longer trust they can safely use their btc then the same people who made btc strong will have to find another way to keep $$ safe from bad govt's and bad people.  All this love for tighter regulation will result in btc holders loosing everything as govt's control btc like local currency.  BTC taught us to believe in ourselves and leave fiat for people who need a babysitter.  

Everyone who provides kyc docs to exchanges will eventually have their identity stolen.  Its is unavoidable as hackers attack exchanges to get btc.  Welcoming kyc is welcoming identity problems in the future - no way to separate the two.  No bank has survived without being hacked, who believes any exchange will.  KYC is now a commodity like btc - people buy and sell.  Sr. members have mentioned the absurdity of govt's forcing kyc to anonymous companies.  Does anyone remember the last time someone went to jail for 'loosing'/selling users personal info?

Even  Michael Saylor has said btc is valuable because it is "a synthetic bearer asset" - kyc = only synthetic asset.  so according to saylor's words it will likely loose value if it is no longer a bearer asset.

[nightflightcourt]

All these pairs are running on a lite wallet with a DEX embedded into it.


This is how fast it is to swap between them. Everything is non-custodial. No accounts, no KYC, no geoblocking.
https://www.youtube.com/watch?v=SU_uareVM4U

[xz0708]

@nightflightcourt ,interestingl....will check it out.  is it on ETH or its own separate blockchain, or its own special thing?

[Twinkledoe]

That's pretty accurate I'd say, in next 5-10 years probably 99% of the centralized exchanges will require KYC verification and that will not be optional, even now it's not that easy to find a trusted centralized exchange that doesn't require KYC either at the time of registration or later down the road while you're using the exchange.

That's one of the reasons behind the popularity of DEX specially in this year, I believe not all of these exchange are happy about that either, knowing it can significantly impact the number of their active users and trading volume, but it's part of their jurisdiction policy and they have to comply with their rules if they want to keep operating there, so in some cases it's not really their fault.

If that will happen in the future, where most CEXs will require KYC no matter how much you are depositing or withdrawing, then, better submit your KYC docs in a trusted exchange like Binance. We all need to minimize the number of submission as much as possible, because in the end, we don't know where our docs will end up with. But right now, let us enjoy this stage where a lot of reputable exchanges don't require KYC if we are just meeting their min daily withdrawal limit. The KYC submission may not be avoidable once governments are hard with crypto regulations already.

[rat03gopoh]

In order to comply with local regulations, CEX must do so on request. With this, CEX will also receive legal protection and especially the issue of user fund safety insurance. Of course this will benefit both the customer and the exchange itself