With a bully like Gary Gensler running the SEC, we no longer know which crypto exchange will fall in the coming days. Without waiting for a possible arrest, KuCoin decides to comply with the regulations in force. Its users are therefore requested to take the following changes into account.
Soon KYC measures on KuCoin
A year ago, KuCoin was going to go under following a call from Otteroooo to remove all assets from the platform. The reason is that nothing was going right on the crypto exchange anymore. With lightning speed, Johnny Lyu, CEO of KuCoin, denied these rumors. According to the news about this crypto company, everything seems back on track.
But this recent article risk of spoiling the atmosphere of the users. He highlights the KuCoin’s willingness to comply with the “Know Your Customer” obligation.
Below are the reasons given by the team:
- Compliance with “regulatory requirements” in force;
- Protection of KuCoin customer assets;
- Fight against money laundering (a subject widely discussed during the World of Web3 last March);
- Fight against financing of terrorist activities and financial crimes and;
- Willingness toimproved identification and verification program KuCoin customers.
You will find in the following image the data concerning the deadline imposed by KuCoin and its expectations vis-à-vis the users.
” The improvement below will not affect the security of funds in your account. However, to ensure the normal use of your account, please submit the information required by KYC as soon as possible. “, can we read on the website from KuCoin.
What are the interests of such a device?
KYC divides the crypto community. Many see this procedure as a violation of user privacy. The latter recently threw their lightning on Coinbase for similar practices.
On the institutional side, the “Know Your Customer” and the “Anti-Money Laundering” (AML) guarantee theauthenticity of a user’s identity of any service. Generally, they are imposed when the said service is opened. Especially before buying bitcoin, in case of ignorance of the best trick to circumvent them.
Let it be clear: these two concepts have been borrowed from US banks and insurance companies. In other words, KYC and AML are practices inherited or borrowed from traditional finance (TradFi).
If KuCoin decides to comply with the rules, to impose KYC on its 27 million customers, it is because regulators have chosen hard lines lately. So, instead of suffering their headlong attack, you might as well anticipate now so as not to demolish the flourishing crypto industry.
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