Why exactly is it that people don't like identifying themselves (KYC)?

[Quidat]

Personally, I've done KYC several times and I think it's safe so I'm not too afraid to do it because in my country KYC is a normal thing and there are regulations. maybe for some people they are afraid that the data provided will be misused, it's okay for everyone to have their own beliefs and it's good to protect our personal data from being misused. but as long as we follow and do it according to the rules then I think it will be fine.

usually, that's the dilemma. we don't know where will our vital info ended up with. so as much as possible, a lot of us don't want to do kyc. but if there's no choice like if you want to trade in binance, you are now obliged to undergo the completion of kyc. or you want to use your local exchange and they are under the jurisdiction of your local central bank, you have no choice but to comply. i have no prob with kyc as long as it is necessary, in this step, you are entrusting a 3rd party organization to hold your info.

But honestly we've been already exposing our identity into the government long time ago which there's nothing we could really do in terms of of that privacy that we are seeking off but since we are dealing with online transactions with those online platforms now then its our choice
whether we could take risk on complying those verification or not but as much as possible we do really loves on not to verify everything
and able to make use of those service.

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[o_e_l_e_o]

But I can say, as someone who has already gone through KYC many times, that there is no cause for concern.

And I can say, as someone who has driven drunk many times, that there is no cause for concerns. /s

Just because something bad hasn't happened to you yet, doesn't mean that activity is safe. I would also wager that, like most people who complete KYC with abandon, you haven't set up any kind of credit alerts or monitoring, and you wouldn't even know if your identity had been stolen and used to take out credit or for money laundering until debt collectors or law enforcement show up at your door.

[palle11]

I get that it goes against the fundamentals of crypto currency, but exactly for what reasons though? Assuming you're not using it for anything illegal (if you are then it's understandable), why the concern? I'm asking specifically when trading.

It simply goes against the privacy of an individual whether a trader or not. The online trading is suppose to protect your identity against theft because you don't know the next person, hackers are everywhere also. The reason also is that decentralised and digital economy doesn't really require the data disclosure of the next person, you need to be careful with who you are dealing with because it is not a safe environment.

[Finestream]

I get that it goes against the fundamentals of crypto currency, but exactly for what reasons though? Assuming you're not using it for anything illegal (if you are then it's understandable), why the concern? I'm asking specifically when trading.

It simply goes against the privacy of an individual whether a trader or not. The online trading is suppose to protect your identity against theft because you don't know the next person, hackers are everywhere also. The reason also is that decentralised and digital economy doesn't really require the data disclosure of the next person, you need to be careful with who you are dealing with because it is not a safe environment.

Right, given that you are trading online, its most likely that you want to stay anonymous by not sharing your personal identity. Because if that's the case, then you should have gone out and just wait for the possibility that sooner hackers will start stealing your personal datas. But its not the case. As long as you are trading with cryptos that are supposed to be decentralized, then you will also expect that the thought of being in controlled by any group or entity will not be possible. But whether we like it or not, most of the exchanges today are now becoming centralized and its a requirement to submit KYC for legalization.

[passwordnow]

Most of the reason probably because of hacking issues wherein common issues when it comes crypto. And the fact that there's a chance hacker can get identities after that and of course they can use it as well from bad activities in the internet to scam others.. So it's very dangerous to be honest and it's a big problem , and you know there's already a victim on it. So that's the reason why people's still are scared to submit kyc nowadays even in some trusted platforms.. Well its their choice. 

This is what I'm worrying for. Since I've been receiving unsolicited emails and they're asking for KYC. That email of mine has been hacked and as much as that exchange is forcing me to do a KYC after registration, I don't have enough time to deal with their notifications and automatic emails to me. We don't want to our identities to be compromised since these hackers can use it for bad purposes if they've obtained it.

[martina14]

I get that it goes against the fundamentals of crypto currency, but exactly for what reasons though? Assuming you're not using it for anything illegal (if you are then it's understandable), why the concern? I'm asking specifically when trading.

There are some exchange especially new to this industry of crypto space, they are giving free amount of dollar$ like 5$ but for them to receive this amount they need to submit KYC first before anything else. But for me this type of style is not a good things to me because this is obviously there are hidden agenda for it where the information could be steal then in the future the platform could be down instantly.

[bounceback]

I get that it goes against the fundamentals of crypto currency, but exactly for what reasons though? Assuming you're not using it for anything illegal (if you are then it's understandable), why the concern? I'm asking specifically when trading.

So far, no exchange can guarantee 100% security of our identity, if we remember back in 2019 when Binannce exchange was hacked and hackers managed to collect information about users' personal data and they threatened Binannce CEO to pay ransom, otherwise they will leak the identity of its users, this is the reason I am afraid to KYC on the exchange.

[Mpamaegbu]

This is the same reason I don't do P2P on Binance even though I'm verified there. Personal details are vital and should be properly guarded. I want to have an idea where my bank account details are flying to, especially giving the goings on in my country with the relative ban on crypto activities by the inept government in power. One can't be certain who is at the other end trying to transact with one. For all I know, it could even be a government spy. I can endure my details being with Binance because it's the only way I get to transact there. But it's a different ball game exposing myself to some random peeps, other than the exchange. Privacy matters a lot. Leaked data can easily endanger one.

[AicecreaME]

Because nobody wants to give their personal information to someone they didn't even know in online world, even if it is an exchange, you don't know them so there's no reason for you to trust them with your identity, you don't even know if the purpose of their KYC is just for your account to be verified. That's the reason why most of the people hates it, others use fake IDs for KYC to not risk their real identity online.

[stomachgrowls]

Because nobody wants to give their personal information to someone they didn't even know in online world, even if it is an exchange, you don't know them so there's no reason for you to trust them with your identity, you don't even know if the purpose of their KYC is just for your account to be verified. That's the reason why most of the people hates it, others use fake IDs for KYC to not risk their real identity online.

Some people been saying that why they've been afraid off on exposing their identity if theres nothing you have done illegally? Yeah. that is some solid

point but not all would really be that confident on exposing their identity which could be potentially be used on other aspects which is a no joke.

This is why we are really that mindful when it comes to KYC on any platform we've been dealing neither on an exchange or other services out there.

[Silberman]

I get that it goes against the fundamentals of crypto currency, but exactly for what reasons though? Assuming you're not using it for anything illegal (if you are then it's understandable), why the concern? I'm asking specifically when trading.

Because privacy is a right and not some sort of luxury that should be almost impossible to get and people have different standards when it comes to this, so the argument that many people use of having nothing to hide does not apply at all, for example with fiat if you want to exchange a 100 dollar bill for another currency or even you just want to get some bills of a smaller denomination you can do it without having to identify yourself, but somehow governments want to force us to go through KYC just because we want to exchange our bitcoin for some ethereum and that is simply not right no matter how we look at it.

[GreatArkansas]

Because nobody wants to give their personal information to someone they didn't even know in online world, even if it is an exchange, you don't know them so there's no reason for you to trust them with your identity, you don't even know if the purpose of their KYC is just for your account to be verified. That's the reason why most of the people hates it, others use fake IDs for KYC to not risk their real identity online.

Most of the KYC requirements on some platforms are indeed for compliance with the law. Since in some countries, there is AMLA (Anti Money Laundering Act) which identifies that you are not doing such money laundering like maybe your funds come from illegal things.

Most of the cryptocurrency exchanges these days started to require their customers to undergo KYC (Know Your Customer), which for me is a very red flag, to be honest, most the people using cryptocurrency don't want it as the feature of cryptocurrency is being disregarded.

Well, there are always solutions, like using P2P transactions or Decentralized exchanges.

[lienfaye]

Keeping your identity private doesnt mean you're using the platform for any illegal activities.

The main concern is the security of our personal data. What if the exchange got hacked and our information gets compromise? Thats the scenario that we dont want to happen.

Though its understandable that its part of their AML system and they just want to deal with their legitimate client, but still, if you can use the exchange without asking for KYC that would be better.

[michellee]

I get that it goes against the fundamentals of crypto currency, but exactly for what reasons though? Assuming you're not using it for anything illegal (if you are then it's understandable), why the concern? I'm asking specifically when trading.

There are some exchange especially new to this industry of crypto space, they are giving free amount of dollar$ like 5$ but for them to receive this amount they need to submit KYC first before anything else. But for me this type of style is not a good things to me because this is obviously there are hidden agenda for it where the information could be steal then in the future the platform could be down instantly.

I do not want to risk my personal information being sent to the new exchanges because I do not know how good they are and even if there is a $5 or so for the bonus of verifying the account, that will not make me tempted to verify. I already verified my account on the exchanges and I think that is okay for me because they have their reputation and can manage their member's data. We need to be selective if we want to send our identification to a third party and make sure they are good enough to take care of the data. However, we need to understand that there are not 100% safe on the internet, so you need to choose for yourself.

[Kasabus]

Keeping your identity private doesnt mean you're using the platform for any illegal activities.

The main concern is the security of our personal data. What if the exchange got hacked and our information gets compromise? Thats the scenario that we dont want to happen.

Though its understandable that its part of their AML system and they just want to deal with their legitimate client, but still, if you can use the exchange without asking for KYC that would be better.

Exactly. Having to disclose your personal information into an exchange where you are not sure if its secured totally will make you more panic thinking that your personal datas might have chances to be hacked by scammers or hackers in the future. So if you can find an exchange where KYC  is not required and as long as its safe and reliable too, then that would do much better compared to a centralized exchange. Sharing your personal information  to a group or any entity will only make your portfolio more prone to scammers and that's the thing we should avoid as much as possible.

[Silberman]

Keeping your identity private doesnt mean you're using the platform for any illegal activities.

The main concern is the security of our personal data. What if the exchange got hacked and our information gets compromise? Thats the scenario that we dont want to happen.

Though its understandable that its part of their AML system and they just want to deal with their legitimate client, but still, if you can use the exchange without asking for KYC that would be better.

And this is just one aspect of it, it is true that exchanges can be hacked and then once your information is on the hands of the hackers and the black markets were they trade that information it is impossible to get it back, however this is also simply about privacy, the governments through different measures and platforms seem to not want people to have any privacy at all with the excuse of fighting criminals, but this unacceptable and as such some will simply avoid services that try to force them to go through KYC.

[yhiaali3]

Most of those who work in trading like to maintain their privacy for several reasons, first: because KYC goes against the concept of decentralization and financial freedom, most people want to work freely without the watch of governments trying to spy on everything and control your financial freedom by knowing everything about Your financial assets and monitoring of all your activities.
Second: KYC exposes you to danger by obtaining your personal documents from exchanges, which can be subject to theft by hacking the exchange or even selling information for money, and then your personal documents may become in the hands of thieves and be used in illegal things and then you can find yourself inside Prison.

[TheUltraElite]

I get that it goes against the fundamentals of crypto currency, but exactly for what reasons though? Assuming you're not using it for anything illegal (if you are then it's understandable), why the concern? I'm asking specifically when trading.

The major concern is always an identity theft, however considering that you are using a smartphone and a carrier your data is already being sent to many tech companies and hence your identity has already been stolen to some extent.

Dont rule out the "illegal" scenario just like that. Majority proponents of the no-kyc trend are done by criminal groups and who are into money laundering and I am not talking about your average street muggers, these are bigger corporations who are investing in cryptocurrency and own money that they have obtained by illegal means and trying to offshore it using bitcoin's pseudo-anonymity and lack of taxation.

When you are using someone's exchange, you are bound to be their terms, you like or not.  This has nothing to do with crypto's ideals.

Otherwise just go to OTC markets and exchange, but dont ask for safety concerns, liquidity and availability over there.

[Strongkored]

If we can hide our identity in online world why should we reveal it?
Personal data really must be kept confidential not only in the crypto world but all things that have to do with the internet but nowadays it is difficult to find where exchanges especially CEX, do not require KYC.
The main concern why our personal inf must be kept confidential is so that it is not used by other people or party who could put us in a dangerous situation.

[wajik-tempe]

If we can hide our identity in online world why should we reveal it?
Personal data really must be kept confidential not only in the crypto world but all things that have to do with the internet but nowadays it is difficult to find where exchanges especially CEX, do not require KYC.
The main concern why our personal inf must be kept confidential is so that it is not used by other people or party who could put us in a dangerous situation.

But if the users of crypto keep hide their identity cryptocurrency won't be adopted as world currencies because it's hard to detect the ownership of transaction that could be lead into any bad transaction without responsibility.
Anyway there are 2 sides of people about this problem, there are also some people who likes to keep their identity private because that's why they choose crypto for transaction.