Topic: Can explain to me in simple term what is KYC AML CFT? (Read 260 times)

Wow some people know so very little. KYC= I am gonna scam the shit put of you/hold your money till you give me your KYC/sell your KYC/visit you at night an murder you/exploit you/threaten you/ blackmail you.

KYC is for authorties and banks. End of story.

You can ask for KYC untill the cows come home but noone has to give it to you. I suggest you stay away from anything that asks for KYC.

Your bank can have your KYC and your goverment for your ID and tax forms and drivers license. Large finicial institutions go through KYC but they have authority. KYC is not new it's been here forever. YOu take KYC when you open a bank account for example.

If you give your KYC to some random person who started an ICO(anyone can start an ICO and claim KYC) do not give it to them please. It has nothing to do with crime or money laundry.
Criminals launder big money. No criminal will launder $500 that is just stupid. Criminals launder 10k plus so if they use that tired excuse and say they need your KYC for $200 then go somewhere else because that is not very professional. There is no legal reason to be asked or given KYC. Go ask your local police station what they think and they will look at you funny for even thinking of giving personal info. Infact I bet your local police station encourage people not to give out personal info.

I mean hello people even as a child we taught not to give out our personal info. I don't know why this still needs to even be explained or why people still give their KYC.

Btw do you know how horrible identity theft is?? Having your identity potentially stolen just to prove to some stranger you not a criminal?? Besides many people send fake KYC so who knows what is real or not. A real criminal would bypass this anyway so its pointless. Just collecting personal info waiting to be stolen.

This is not entirely true.

AML and CFT programs are designed to detect money laundering, and track the flow of money throughout the financial system. If you are transacting large quantities of money, you will be asked additional questions about the source of your funds, and the purpose of your transactions. If you exceed certain thresholds, reports will be filed with the government so the government can track money movements. If your transaction history and/or answers to questions about the purpose of your transactions/source of funds are suspicious, a separate report will be filed with the government.

This definition is not limited to cryptocurrencies but in case you want to do any financial transactions using trusted parties.

Cryptos provide a layer of decentralization If you mining or buying currencies using P2P otherwise you must pass through one of the current financial systems and the loss of decentralization.

The short answer is quoted below and for details ----> https://bitcointalksearch.org/topic/m.5010104

This exactly. But like o_e_l_e_o said, this can really be abused by a business/service. Always be cautious on the business/service you're submitting your KYC/AML information to. You definitely wouldn't want to submit your personal information to a shady airdrop/ICO, as they could specifically conducting an airdrop/ICO mainly to collect personal information of people.

This is another side of this regulations.
In theory they are to protect people. But when too much private data is collected from people its used in bad way often. Now almost every exchange have most private data of people and they get hacked often so vulnerable people's data are stolen.

KYC = infringement/invasion of privacy.

AML, CFT, AIA... = excuses to rob you in a legal way.

Be aware that this isn't the only thing that they are doing with your data. A lot of exchanges, web wallets, ICOs, etc,. out there are far from reputable, and your data will likely be used or sold for everything from targeting ads to potential identity theft. Even large and well-known companies such as Coinbase have been caught selling customers' datawithout their knowledge or consent. Many of the big exchanges report to various governments for tax reasons, or if your coins can be traced to activities which are illegal in your jurisdiction, such as gambling.

There is a not insignificant risk to undertaking KYC procedures, which increases with every new service you give your details out to. If you must undergo KYC, I would recommend picking a single exchange which you feel you can trust, and undergoing the bare minimum level required. I prefer to do all my trades peer-to-peer and keep my personal data private.

This is very accurate and well explained but just and addition and enlightenment on the various term's, despite the fact that cryptocurrencies are decentralized and anonymous in nature and the privacy of it user hidden there are those on the darkweb that use cryptocurrency to carry out illegal transactions and founding terrorism and money laundering. So the need for individual verification on exchanges and platform's result into kyc where users data are collected.

KYC - Know Your Customer
AML - Anti Money Laundering
CFT - Combating the Financing of Terrorism

Basically you need to submit certain identification information(IDs, proof of address, etc) to the exchanges for you to be able to transact and set up offers. Just so they can find you and lock you up if they found out that you're doing something illegal, or if you're somewhat affiliated with terrorist groups.

I'm totally noob to cryptocurrencies, would appreciate the help on this.

Since the cryptocurrencies especially bitcoin on the rise, thinking getting some cryptocurrencies and wait for the right time to sell off and earn some profit. But KYC AML CFT stuff really confusing to me.

Just need a simple explaination what KYC AML CFT means and how does it work if I'm going to buy and sell cryptocurrencies.