[Reflection] REMEMBER: KYC gets people kidnapped!

[SeriouslyGiveaway]

Before forwarding any sensitive data online you have to do a KYC (know your company), it is the law. Law always works two ways otherwise it is not a law.
You need to get the information for anyone who has access to your data once you satisfied with the people you are dealing with you my proceed and forward your data.

KYC is about customers or clients, not about the companies. I am really surprised to see you are confusing and misunderstood about KYC.

https://en.wikipedia.org/wiki/Know_your_customer

Know your customer or know your client (KYC) laws, regulations and guidelines in financial services require regulated businesses and professionals to verify the identity, suitability, and risks involved with maintaining a business relationship with a customer. These procedures fit within the broader scope of anti-money laundering (AML) and counter terrorism financing (CTF) regulations.

[FinneysTrueVision]

It is high time for the government to implement ZK-KYC and exchange or any centralized service which requires KYC can use the ZK proof.

If they are taxing us they can at least protect us from the wrench attack.

We don't need to do KYC over and over again across several centralized services just to prove our identity and increase the chance of KYC leak.

A zero knowledge solution would be significantly better than what we have now. A better idea would be to do away with it altogether since it has never been an effective way to prevent crime. I know that’s unlikely to happen, but I would at least like to not be asked to scan my face and upload a picture of my passport to buy a $15 gift card. There are even more absurd examples where you must agree to a complete privacy invasion to access certain websites or products.

Buying $0.75 worth of Telegram stars on the Fragments marketplace, that requires KYC too. I don’t see how this is beneficial in any sort of way for the amount of damage that might come as a result of a data breach or rogue employee.

[uchegod-21]

It is high time for the government to implement ZK-KYC and exchange or any centralized service which requires KYC can use the ZK proof.

If they are taxing us they can at least protect us from the wrench attack.

We don't need to do KYC over and over again across several centralized services just to prove our identity and increase the chance of KYC leak.

A zero knowledge solution would be significantly better than what we have now. A better idea would be to do away with it altogether since it has never been an effective way to prevent crime. I know that’s unlikely to happen, but I would at least like to not be asked to scan my face and upload a picture of my passport to buy a $15 gift card. There are even more absurd examples where you must agree to a complete privacy invasion to access certain websites or products.

Buying $0.75 worth of Telegram stars on the Fragments marketplace, that requires KYC too. I don’t see how this is beneficial in any sort of way for the amount of damage that might come as a result of a data breach or rogue employee.

I just laughed reading this. The government will never admit that KYC implementation is causing more harm than good, even when we can all see that scam rates and tactics are increasing by the day. How will they explain how a fake site got people's email address to send scam messages?

How will they explain how scammers got the phone contacts of individuals to call them with the aim of scamming them?

How will they explain the rapid increase in impersonation, which, of course, we can all tell has something to do with KYC?

The government is never going to admit that KYC is endangering lives. They will rather keep imposing it on the people.

The government is never going to help anyone. People should help themselves by avoiding KYC. Starting with their bitcoins, they should avoid KYC; it is putting them at risk.

[Synchronice]

What I noticed on this forum is that many people have gone for the KYC way which are the centralized exchanges, but which is very dangerous if the data get leaked to the bad hands. They use it for P2P.

Some people do not know that their decision to buy Ledger Nano directly from the company can lead to bad people knowing that they have bitcoin and they know their homes

Some of the wrench attack is because of KYC, but not all.

KYC is extremely dangerous till today.

Do we have any other options if we want to comfortably trade daily with different of coins? Do we have an option to trade futures (long/short positions) with leverage? We don't have options and governments allow and demand exchanges to collect KYC while nobody caring about how those documents are handled. Honestly, I'm shocked that governments aren't concerned when the KYC data gets leaked because it should be the priority of each government to maintain the privacy of the sensitive information of their own citizens but strangely, nobody cares.

P.S. Ledger is already an extremely bad wallet to buy. This is a shady company with shady practices. There are Coldcard and Passport for real privacy and security.

[_act_]

Do we have any other options if we want to comfortably trade daily with different of coins? Do we have an option to trade futures (long/short positions) with leverage? We don't have options and governments allow and demand exchanges to collect KYC while nobody caring about how those documents are handled. Honestly, I'm shocked that governments aren't concerned when the KYC data gets leaked because it should be the priority of each government to maintain the privacy of the sensitive information of their own citizens but strangely, nobody cares.

Our government only care about tax.

See how many scam ads are on Google, the government will not also do anything because they are earning huge amount of money from Google.

There are options. You can use Hyperliquid, Asterdex, Light and some other decentralized exchanges. They are not fully decentralized, but they are better than giving out your KYC.

There are derivatives also on other ones like Pancakeswap with no KYC.

[Agbamoni]

Maturity is realizing that believing the above statement from an exchange and any crypto platforms is at your own risk.

It is hard to find one to trust, but considering their reputation on several discussion forums, it's fair to choose one or more to use.

Perhaps it should be wondered why a platform would even make the KYC mandatory which means they want to have the access to your datas so that they can easily trap you at any given time with it.

Without evidence, the bolded statement is seen as an accusation.

The primary reason why crypto platforms make KYC compulsory is that they want to comply with legal and regulatory requirements.

[Mpamaegbu]

KYC is extremely dangerous till today.

My question to you would be – What about you? Are you free from KYC on Cexs? Haven't you done that before on any site?

If we keep saying it's bad, do we also overlook the fact that our hands are tied? What genuinely do you think is the way forward for anyone who gave out their KYC already?

My bank account got blocked, and I went to the bank to notify them. I was told that I needed to upgrade my data to include my house address. I was troubled because I am in deep shit if they have access to my financial transactions and also know where I live.

So, how did you resolve it? Did you abandon that account? I'm curious to know how it ended.

I will avoid any CEX that asks for a house address.

Did Binance not ask for it in their verification upgrade or you don't have an account with them? Though I can't be too sure now if they did. I will like those who did their verification recently to respond here.

[Obim34]

My question to you would be – What about you? Are you free from KYC on Cexs? Haven't you done that before on any site?

If we keep saying it's bad, do we also overlook the fact that our hands are tied? What genuinely do you think is the way forward for anyone who gave out their KYC already?

Our hands are not completely tied, It's optional for those who refuse to use CEX, but also a big claim that we've never had to give personal data to centralized platforms, sometimes we wouldn't mind compromising privacy for convenience.

If we keep saying it's bad, do we also overlook the fact that our hands are tied? What genuinely do you think is the way forward for anyone who gave out their KYC already?

Seriously, nothing can be done once KYC has been given out, it cannot be retrieved. What's left is to stop giving it out anymore.

[_act_]

My question to you would be – What about you? Are you free from KYC on Cexs? Haven't you done that before on any site?

If we keep saying it's bad, do we also overlook the fact that our hands are tied? What genuinely do you think is the way forward for anyone who gave out their KYC already?

If you are holding coins, use noncustodial wallet.

If you are a trader, use Hyperliquid, Asterdex, Pancakeswap perpetual and other no KYC exchanges.

If you use P2P on centralized exchanges and you have huge amount of money on your wallet, best to first mix the coin before sending to the exchange and make sure you do not leave coins on the exchange. If your country is United States, EU or UK, or if your country people are having many ads on fiat decentralized exchanges, use the decentralized exchanges.

[Mpamaegbu]

~

Kindly go back to my post, I believe you missed the three questions I directly asked you as you didn't address any. The last question is the most important of them all because I believe you must've fallen into that too. What's genuinely the way forward? I ain't trying to put you on the spot. It's for educative purpose so that others like me can learn from you.

[Forsyth Jones]

It is high time for the government to implement ZK-KYC and exchange or any centralized service which requires KYC can use the ZK proof.

If they are taxing us they can at least protect us from the wrench attack.

We don't need to do KYC over and over again across several centralized services just to prove our identity and increase the chance of KYC leak.

Doing a brief search, it's a KYC system done via smart contract that doesn't store sensitive data like personal IDs or passports on company or third-party servers, which could be leaked. This is better than the current mandatory arrangement. The problem is that governments don't accept this arrangement and want to impose what they think is correct.

[lionheart78]

KYC can have positive and negative results.  Just like any tool when mishandled, can cause damage to the person involved.  KYC is important in verifying the identity of the owner of the account when an issue about account ownership arises.  At the same time, KYC, when used maliciously, can endanger a person's life or assets.

I do not see KYC as a negative thing, but the irresponsible handling and storing of data is what one should be concerned about.  So I think the company or institution that profits from KYC implementation should be held highly liable.

[X-ray]

Doing a brief search, it's a KYC system done via smart contract that doesn't store sensitive data like personal IDs or passports on company or third-party servers, which could be leaked. This is better than the current mandatory arrangement. The problem is that governments don't accept this arrangement and want to impose what they think is correct.

Exactly, the technology is there, but unfortunately governments around the world is sticking with the most unsafe, traditional way of KYC verification and the fact that most KYC verification being handled by 3rd party is asking to get the data leaked.

If only they want to invest a little bit of money to upgrade the KYC verification to a better one, we'd be having significantly less wrench attack and there is no more KYC leak.

A zero knowledge solution would be significantly better than what we have now. A better idea would be to do away with it altogether since it has never been an effective way to prevent crime. I know that’s unlikely to happen, but I would at least like to not be asked to scan my face and upload a picture of my passport to buy a $15 gift card. There are even more absurd examples where you must agree to a complete privacy invasion to access certain websites or products.

Buying $0.75 worth of Telegram stars on the Fragments marketplace, that requires KYC too. I don’t see how this is beneficial in any sort of way for the amount of damage that might come as a result of a data breach or rogue employee.

One weak point that ZK-KYC have is the fact that it still require us to verify ourselves even though only for once, after that we can simply verify ourselves without the need to reveal important data that can be leaked.

I think it's a solid compromise and good enough middle ground but I'm sure not the one that the government want to do. I agree though, KYC has never been effective but government would still require it regardless.

[cryptomaniac_xxx]

Another good example is the country of France who are notoriously known for data leaks and according to Pavel Durov,



https://x.com/Cointelegraph/status/2047767682347376999

And we have seen here:physical Bitcoin attacks, most of them happened in France.

[bhadz]

There's a 'data privacy act' in the Philippines, but man, this is a very concerning thing ever since. When these data and KYCs that we've passed on to our local exchanges, our addresses are there because we've sent a valid government ID. The promise of these establishments is that the data of their customers won't be leaked, even in the banks. But once they're hacked, they can't assure the safety of the data and where it's sent and who's handling it when it's passed to several threat actors. As the DEXes have got a lot of issues in the past, with this concerning safety matter will make everyone go back to it after being too comfortable with the cexes.

[lionheart78]

There's a 'data privacy act' in the Philippines, but man, this is a very concerning thing ever since. When these data and KYCs that we've passed on to our local exchanges, our addresses are there because we've sent a valid government ID. The promise of these establishments is that the data of their customers won't be leaked, even in the banks. But once they're hacked, they can't assure the safety of the data and where it's sent and who's handling it when it's passed to several threat actors. As the DEXes have got a lot of issues in the past, with this concerning safety matter will make everyone go back to it after being too comfortable with the cexes.

The Data Privacy Act in the Philippines does not work.  Companies that require KYC often have business partners and sister companies where they share their client information.  Worse if one signed in with a local online gambling platform, be prepared to be bombarded with promotional text messages from different casino platform.

The authorities are too lenient on companies that process client data worse, when the government itself were hacked, I have never heard news where the government makes IT companies that create the government websites and are responsible for security ever held accountable for data breaches.

[Alphakilo]

There's a 'data privacy act' in the Philippines, but man, this is a very concerning thing ever since. When these data and KYCs that we've passed on to our local exchanges, our addresses are there because we've sent a valid government ID. The promise of these establishments is that the data of their customers won't be leaked, even in the banks. But once they're hacked, they can't assure the safety of the data and where it's sent and who's handling it when it's passed to several threat actors. As the DEXes have got a lot of issues in the past, with this concerning safety matter will make everyone go back to it after being too comfortable with the cexes.

The Data Privacy Act in the Philippines does not work.  Companies that require KYC often have business partners and sister companies where they share their client information.  Worse if one signed in with a local online gambling platform, be prepared to be bombarded with promotional text messages from different casino platform.

The authorities are too lenient on companies that process client data worse, when the government itself were hacked, I have never heard news where the government makes IT companies that create the government websites and are responsible for security ever held accountable for data breaches.

Both kyc and non kyc have their pros and cons and while kyc makes things more regulated and formal, non kyc does the opposite but if quite prone to whatever you fear including the exchange just crashing overnight.
It seems all one got to do in the end is just trust the system and try to secure yourself as much as possible while holding on to your faith because that's the only way to be smart and minimize the risk of data breach.