Is KYC bad for crypto? - page 8. | Bitcointalksearch.org

KimmyF

sr. member

Activity: 978

Merit: 250

Quote from: Abiky on March 27, 2020, 06:33:52 PM

In some cases regulations are necessary to put an end to fraud and corruption in the crypto/Blockchain industry. By requiring KYC compliance on centralized exchanges, the crypto world could become a better place. However, the mere fact that you'd need to provide some sort of ID verification would completely destroy the purpose of crypto. I've seen situations where centralized exchanges became hacked, putting customers' identities at risk. Last time I've heard, someone hacked Binance and threatened to expose customer's identities across the web.

This makes me to believe that KYC does more harm than good for crypto. Of course, regulation is necessary in order to legitimize the industry in its entirety. Institutional investors, conglomerates, and other entities will find crypto regulatory-compliant for their own needs. But knowing that KYC goes against crypto's principles, could make the entire industry similar to traditional banking.

What are your thoughts? Huh

I don't think that anyone in crypto space would like to do submit KYC although KYC against crypto. Top exchange doesn't mandatory KYC process until you are making huge withdraw in one day. KYC process shouldn't mandatory something where I can't find anything good for crypto by KYC.

gundala

full member

Activity: 896

Merit: 108

Quote from: ?? on ??

The security issues are my biggest concern if the exchange asks about the personal documents. I hate to see the news about the hacked exchanges and this is the reason behind my stubborn anti-KYC idea. It is obviously killing the requirement for freedom in net and bad for decentralization.

Not entirely bad I think, after all, this will not change the decentralized system. Reliable and quality exchanges certainly have rules related to KYC, especially efforts to minimize the risk of misuse of crypto in criminal acts such as money laundering. So I think this is an effort in consumer protection. Well, some exchanges also do not require KYC with certain withdrawal restrictions. As users, we must be selective in choosing exchanges and really understand the rules carefully.

Denongels

full member

Activity: 812

Merit: 100

I think it's good because by applying Kyc I think it can help an exchange to filter out people who want to do money laundering, it's just that recently I saw a lot of new exchanges that apply KYC but it is very silly because applying a very large minimum withdrawal and not like a famous exchange like binance etc. that do not apply KYC and provide a fairly large minimum withdrawal (above 1 btc), and in my opinion a new exchange should follow them

Hellkas

member

Activity: 375

Merit: 10

I think that it`s not always comfortable for people to pass KYC, because they came crypto due to anonymity. but it`s necessary step for exchanges and crypto projects, because there are a lot of abusers which can steal a lot of money from crypto projects

Utoy101

member

Activity: 368

Merit: 11

The concept behind blockchain and cryptocurrency was to provide a decentralized financial system where everyone have absolute control over there financial lives by having access to various mechanisms that will enable value transfer without the intervention of intermediaries and as such, it frowns against disclosure of identity as it's core function preaches anonymity of financial system. I think the cryptocurrency sector is pushing too far to get adopted by the outside world and government that's why regulartors are getting involve to set rules similar to that of the traditional system.

XCANA

full member

Activity: 1470

Merit: 148

The cryptocurrencies wasn't meant for those KYC for those whom choose to use their identities. But for me am not usually compatible with the disclosure of my real identity. The real meaning of the existence of cryptocurrency wasn't for real identity but for anonymity. But many have chosen to sell out their real identities to exchanges all because of some little dollars from team developers. Personally, I will never get involve into giving out my real identity because of theft. Keep safe from hacks and keep your identity safe.

qazgroup

member

Activity: 1022

Merit: 20

RiveMont

Obvioisly kyc requirements do go against the decentralization concept of the cryptos but now we have to accept the fact that without kuc no government or authority will let anyone to do financial transactions, so anything that involves money governments will want there data obviously for the purposes of taxation, source of money and to tackle money laundering and controlling financial data.

Denreal

jr. member

Activity: 784

Merit: 6

It is better we push for total decentralization, than to be partial about it. We say that we are dealing with decentralized coins and decentralized projects, but our personal data are not handled with the utmost privacy. Those projects team that come up with such rules will never tender their personal details to the public because they understand the implication.
We are just exposing ourselves to unnecessary problems if we decide to give out our personal details to strangers because they are people that we do not know. We might not even come across them in real life.

Maturnuwun

member

Activity: 92

Merit: 10

in general KYC is your personal data, in the event that crypto or a project promoter performs KYC against the risk with your data. because in the crypto industry is a free world and you need to be vigilant before carrying out the KYC procedure to get free tokens in the form of any gifts.

Jannyh

copper member

Activity: 994

Merit: 4

Well as we know kyc means know your customers,well might not be bad for investors but then we know the principal if Blockchain which is anonymity friendly, and in a decentalized crypto world,what do we need kyc for? Know your customer should be totally erased from the crypto community ,It defiles the Blockchain principle.

xiboothrezi

sr. member

Activity: 1246

Merit: 285

KYC / AML in the crypto world indeed caused quite a debate. On the one hand it is necessary to create a conducive ecosystem that can strengthen trust between buyers and sellers, and minimize criminal acts. In this further stage, it can strengthen the opportunity for cryptocurrency as a legal alternative payment, right?

One point that I don't agree with:

Quote from: Abiky on March 27, 2020, 06:33:52 PM

~

This makes me to believe that KYC does more harm than good for crypto. Of course, regulation is necessary in order to legitimize the industry in its entirety. Institutional investors, conglomerates, and other entities will find crypto regulatory-compliant for their own needs. But knowing that KYC goes against crypto's principles, could make the entire industry similar to traditional banking.

The existence of KYC does not make the blockchain ecosystem centralized, this assumption arises because conventional systems are centralized using KYC, right? for me, the act of monitoring does not make the blockchain centralized, it is not that simple, on the other hand we know that the blockchain is very open.

In this case, I am talking about trusted exchanges with clear terms and conditions and want to provide consumer protection in accordance with applicable regulations. So be careful doing KYC, because it is your personal data, be selective in providing data, ignore shitexchange let alone airdrop asking for KYC with cheap rewards.

pgbit

sr. member

Activity: 771

Merit: 258

Trident Protocol | Simple «buy-hold-earn» system!

Quote from: ?? on ??

Quote from: pgbit on March 28, 2020, 01:19:01 PM

I don't think crypto is bad at all, it has a purpose. How can you detect a scammer if there is no verification system? I don't think there is anything available in the open world that is 100% Anonymous! 100% anonymity is for the dark/dip web! KYC is necessary to avoid bounty cheating, exchange hacking. You can't run from it, because right now every good project/exchange asks KYC verification!

How can you know that verification system is effective? Say for example, I was looking out for ICOs back in the days when I managed to visit sites like ICOBench wherein I also read an article about the exposure of the site that they're rating ICOs high because they're paid and if I can recall correctly, they're paid around $500 for 5 stars.
I think with that high of a payment even KYC can be faked that easily.

You are right! Bad people never stop, they always find a way to scam people! But you can't win every match, one day you will lose badly! It means maybe you can scam the KYC procedure, you can photoshop it. But if the project is strong then they will verify your KYC documents manually and you will be caught by red-handed if you fake the KYC! I have seen in temtum bounty, where all the scammers were washed out because the KYC was managed by a well-reputed party and they verified carefully!

Teawhalee

copper member

Activity: 482

Merit: 1

Over times people have said it to be a necessary evil for this space. For the fact that it wasn't initiated at start and there was no regulation bodies to control thing has make it more difficulties to control. That's the stage we are now.

Nasonn

jr. member

Activity: 616

Merit: 1

Yes it is. Cryptocurrency is about anonymity when you require people to pass through kyc especially those kyc process that's rigorous requiring detailed information about a person then it goes beyond what cryptocurrency stands for. I propose the case of kyc be scrapped from the space.

MUG1WARA

full member

Activity: 1008

Merit: 101

On good side I strongly agree with the application of KYC because it helps secure the assets we have from some scammers
On bad side, I am very worried that our identity has been misused by them for a future crime
One of the concerns for me to date is the BCNEX exchange, they asked us to do KYC on their platform but now it looks like they are one of the exchange scam so if it is proven they are a scam in the future I only hope that my ID and documents leave it not in the wrong use

YOSHIE

legendary

Activity: 2128

Merit: 1775

Quote from: Abiky on March 27, 2020, 06:33:52 PM

This makes me to believe that KYC does more harm than good for crypto.

For me there are two factors for kyc on crypto like people say, good and bad.

Good and bad, it becomes a matter of conversation and debate.

* If an investor buys certain crypto that has good value in the market, it must be prioritized with KYC virification system, to prevent fraud.

* And if someone is in the bounty bounty and the token delivery rules are based on kyc verification, I don't trust it and will never give my original ID to the bounty token with no potential.

These two factors are pros and cons, one side kyc for crypto is good and on the other side kyc for crypto tokens is very bad.

pgbit

sr. member

Activity: 771

Merit: 258

Trident Protocol | Simple «buy-hold-earn» system!

Quote from: Slingshot on March 28, 2020, 01:05:28 PM

I wouldn't say kyc is good nir bad in Crypto but both has thier good and bad impact in crypto. Hackers hacks exchange that isn't strong and probably steals users kyc or expose it which meant to be private and also kyc is needed to secure once funds to avoid one scamming the system. I have seen a situation where someone's kyc was reviewed because hackers invaded the exchange and I know if exchange that doesn't accept withdrawal without kyc too.

Exactly! KYC is not bad only, it has a good side too, that's why we need it! Once I hated KYC procedure but later I understood why new projects are asking KYC verification and why Binance, Kucoin asks KYC! This procedure helps to protect the crypto space from the bad people!

acdc

sr. member

Activity: 939

Merit: 256

I do not like KYC but I think that in some specific situations KYC is necessary for users in the cryptocurrency market.
Cryptocurrency markets still have to follow common rules so being completely anonymous is unlikely, governments want to collect taxes from cryptocurrency transactions and prevent criminals from using cryptocurrencies for illegal purposes.
Perhaps KYC will restrict the privacy of everyone in the cryptocurrency market but for the time being it is necessary for the market to grow better.

pgbit

sr. member

Activity: 771

Merit: 258

Trident Protocol | Simple «buy-hold-earn» system!

I don't think crypto is bad at all, it has a purpose. How can you detect a scammer if there is no verification system? I don't think there is anything available in the open world that is 100% Anonymous! 100% anonymity is for the dark/dip web! KYC is necessary to avoid bounty cheating, exchange hacking. You can't run from it, because right now every good project/exchange asks KYC verification!

Slingshot

sr. member

Activity: 616

Merit: 250

I wouldn't say kyc is good nir bad in Crypto but both has thier good and bad impact in crypto. Hackers hacks exchange that isn't strong and probably steals users kyc or expose it which meant to be private and also kyc is needed to secure once funds to avoid one scamming the system. I have seen a situation where someone's kyc was reviewed because hackers invaded the exchange and I know if exchange that doesn't accept withdrawal without kyc too.

Topic: Is KYC bad for crypto? - page 8. (Read 1191 times)