Can an exchange that requires KYC call itself as DEX? - page 3.

Saisher

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Quote from: rosezionjohn on February 22, 2019, 11:44:11 AM

Recently, I've encountered a Korean exchange that requires KYC before you can start trading. Their website says its a DEX.

I got used to the idea that decentralized exchanges like Etherdelta, Forkdelta, DDEX should not require any personal information from traders. Just connect the wallet and that it.

I don't think they should call themselves a decentralized exchange, why not name the exchange, there must be some misrepresentation it's better to post the name in the main post so we'll see if it is really a decentralized one or not, we know the difference between a centralized and a decentralized one.

Flezy

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In the crypto space decentralization means users are the master of the data right? So if an exchange requiring users data then it isn't a decentralized exchange.

r32godzilla

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Decentralized exchanges can´t request KYC, that is the main feature to stay anonymous / pseudoanonymous. Because what authority will check your KYC? The nodes?

BitcoinHodler

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every time i start thinking i have seen every strange thing coming out of the altcoin market, i will soon find a new weird thing pop up in my face! this one is the latest thing and it is one of the big ones in my opinion. to claim to be a "decentralized" exchange while requiring KYC is just absurd.

i guess the real question is why are they doing it? what would they achieve? more money? or is binance already taken over by the government?

aioc

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Nope they are not Decentralized exchanged, I have traded on at least 5 DEX and not encounter any form of verification, they cannot fool traders if they think they are DEX because we all know what is the difference between the two.

funchiestz

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Quote from: rosezionjohn on February 22, 2019, 11:44:11 AM

Recently, I've encountered a Korean exchange that requires KYC before you can start trading. Their website says its a DEX.

I got used to the idea that decentralized exchanges like Etherdelta, Forkdelta, DDEX should not require any personal information from traders. Just connect the wallet and that it.

I don't think you understand the meaning of DEX. A decentralized exchange can't ask us for a KYC. If it is already automatic, it is not DEX.

mr.robot8

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no, once they ask for the kyc procedure they can no longer be called exchanges decentralized / dex but they become hybrids exchanges as it becomes idex that has in anticipation the introduction of kyc

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Quote from: rosezionjohn on February 22, 2019, 11:44:11 AM

Recently, I've encountered a Korean exchange that requires KYC before you can start trading. Their website says its a DEX.

I got used to the idea that decentralized exchanges like Etherdelta, Forkdelta, DDEX should not require any personal information from traders. Just connect the wallet and that it.

I suppose there is a way to do KYC even for dex. In this case should be used some kind of blockchain KYC platform (like civic). Otherwise it doesn't look that good at all.

masterrex

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Quote from: rosezionjohn on February 22, 2019, 11:44:11 AM

Recently, I've encountered a Korean exchange that requires KYC before you can start trading. Their website says its a DEX.

I got used to the idea that decentralized exchanges like Etherdelta, Forkdelta, DDEX should not require any personal information from traders. Just connect the wallet and that it.

Korean crypto-currency or Blockchain base industry are regulated by the South Korean Government , Thats why its mandatory for its citizens to do KYC or to its costumer. But im not sure if its related to exact withdrawal limitation,But most of the time and most exchange is not employing mandatory KYC for its costumer. in the Korean DEX i think its still be a Decentralized Exchange even though its required KYC as long as they are not holding the traders account or assetts or not costudial just like the Centralized Exchange do!

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Quote from: Zulfiyan on February 23, 2019, 03:03:32 AM

DEX exchanges only require private keys or trusted party applications (metamask).
I just found out that DEX exchanges must be KYC, I think that's weird

Maybe it can be a scam site so never allow yourself to enter any details about you and give the wallet details or any crypto deposits you will be sucked soon after you gave those details.

Zulfiyan

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DEX exchanges only require private keys or trusted party applications (metamask).
I just found out that DEX exchanges must be KYC, I think that's weird

burky156

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I think there are not much to do, after the ICO projects not the exchanges asking KYC procedure from us. I just send my KYC info to IDCM exchange, which is very big exchange and if i didn't send my KYC i couldn't make withdraw, they made me send! If the big exchanges start to ask about our KYC, all exchanges will ask for it. The main think that i came to this market because i could stay invisible but now i have to send my passport and address to everywhere and this is not good!

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Quote from: Herbert2020 on February 23, 2019, 01:33:47 AM

absolutely not.

one of the main characteristics of a decentralized system is that it is permissionless. which in simple terms means you don't have to get the permission to use that decentralized system from any authority which in this case translates into not needing KYC. and if they do enforce it and have a way of preventing you from using that platform if you don't give them any KYC documentations then it means it is NOT DEX.

exactly. decentralized exchanges are created for that people can themselves be responsible for their money

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Quote from: rosezionjohn on February 22, 2019, 11:44:11 AM

Recently, I've encountered a Korean exchange that requires KYC before you can start trading. Their website says its a DEX.

Which exchange? Can you give me the link of that exchange?

Of course not! The exchange who requires the KYC for users is not a DEX and not related to DEX at all. Because in my opinion, KYC applies to Centralized Exchange (although there is a Centralized Exchange that does not require KYC).

Quote from: https://en.wikipedia.org/wiki/Decentralized_exchange

A decentralized exchange (DEX) is a cryptocurrency exchange which operates in a decentralized way, i.e., without a central authority. Decentralized exchanges allow peer-to-peer trading of cryptocurrencies.[1]

Herbert2020

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absolutely not.

one of the main characteristics of a decentralized system is that it is permissionless. which in simple terms means you don't have to get the permission to use that decentralized system from any authority which in this case translates into not needing KYC. and if they do enforce it and have a way of preventing you from using that platform if you don't give them any KYC documentations then it means it is NOT DEX.

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Quote from: rosezionjohn on February 22, 2019, 11:44:11 AM

Recently, I've encountered a Korean exchange that requires KYC before you can start trading. Their website says its a DEX.

I got used to the idea that decentralized exchanges like Etherdelta, Forkdelta, DDEX should not require any personal information from traders. Just connect the wallet and that it.

The idea of DEX exchange might change in the future world wide when strict rules and regulations are implemented, Korea does have a regulation when it comes to running an exchange and they have to follow the rules if they want to function in that country and so is the reason they are asking for KYC to abide by the rule and nothing else, i know mixing sites that implement KYC Cheesy

. You can trade elsewhere too where they give the freedom of not verifying your account, it is your choice.

matchi2011

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Quote from: livingfree on February 22, 2019, 05:43:35 PM

Can you disclose what that exchange is? there's no need for a DEX to ask their traders to comply for a KYC requirement. It's the reason why everyone wants to trade with it because there's no need for us to take that kind of verification.

If an exchange calls themselves as DEX but they are requiring such KYC.

They aren't really a DEX, they can claim it but they will never be a DEX if they have that.

The very reason why DEX is booming because of this decentralized platform, no one is requiring you to provide any private information about yourself, KYC is for centralized operation so if this exchange required you to follow this rules, the need to change that offer not being a dex type but a centralized one.

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Quote from: pixie85 on February 22, 2019, 06:15:36 PM

In a way they can because decentralized part means they aren't holding your keys. If you don't send it to their wallet before exchanging with someone else it's already decentralized.

This could be the reason why the claim of being a DEX.

On the KYC part, the exchange should at least allow users to test their platform first. They can require KYC for withdrawals and not on deposits.

pixie85

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In a way they can because decentralized part means they aren't holding your keys. If you don't send it to their wallet before exchanging with someone else it's already decentralized. KYC shouldn't exist there because they aren't responsible for your trades so they shouldn't have to verify you but maybe in some countries KYC is required for them to operate at all.

B.

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the goal might be good so money laundering can be minimized but I think there will be many people who don't like it for reasons of privacy and not simple
I don't really mind if I have to give my data but I don't like a process that takes longer than usual so I prefer simple exchangers rather than exchangers that need KYC for reasons of convenience

Topic: Can an exchange that requires KYC call itself as DEX? - page 3. (Read 567 times)