Shapeshift.io moving in the grey area of the law

maeusi

sr. member

Activity: 462

Merit: 254

Quote from: SFR10 on January 28, 2018, 02:03:06 PM

Quote from: Apekool on January 28, 2018, 10:28:05 AM

I don't see a maximum deposit/exchange and no registration/KYC.

After you chose which assets to trade > Click "Continue" button > On the next window, you'll be able to see the "Deposit Max" limit.

Quote from: Apekool on January 28, 2018, 10:28:05 AM

Unusual transactions and all transactions above a certain amount are by law to be reviewed by the parties involved in the transaction.

All unusual transactions!

Shapeshift doing anything like that?

Even though they don't use "KYC", they have the rights to investigate for unusual transactions (although there's no "above a certain amount" scenario).

Read sections 3,9 and 10: ShapeShift Terms of Service

This thread belongs to "Service Discussion" section. You can use the "move topic" button, located on the lower left of this page.

In Coinomi limits are not shown as long you are within limits. But as you already stated. They defenitively have limits. And even if not, I don't see the point, why they should have limits as long as there are no fiat traded.

btcton

legendary

Activity: 1302

Merit: 1007

You might have a point in that they could potentially be in a gray area of the law, but with that definition, a fair number of Bitcoin and crypto related website would be in the gray area as well. The reason why they are able to provide services in areas in which exchanges would usually be required to collect and keep KYC information such as identification documents is because they do not transact any fiat. If they were to allow exchanges to fiat currencies, the local regulations would start applying as they would actually be considered a financial institution for all intents and purposes, which would put them under a regulation category that's somewhat similar to a bank's, which is actually very hard and expensive to be at because of all the obligations to the government and different jurisdictions.

SFR10

legendary

Activity: 2968

Merit: 3406

Crypto Swap Exchange

Quote from: Apekool on January 28, 2018, 10:28:05 AM

I don't see a maximum deposit/exchange and no registration/KYC.

After you chose which assets to trade > Click "Continue" button > On the next window, you'll be able to see the "Deposit Max" limit.

Quote from: Apekool on January 28, 2018, 10:28:05 AM

Unusual transactions and all transactions above a certain amount are by law to be reviewed by the parties involved in the transaction.

All unusual transactions!

Shapeshift doing anything like that?

Even though they don't use "KYC", they have the rights to investigate for unusual transactions (although there's no "above a certain amount" scenario).

Read sections 3,9 and 10: ShapeShift Terms of Service

This thread belongs to "Service Discussion" section. You can use the "move topic" button, located on the lower left of this page.

bitperson

full member

Activity: 210

Merit: 119

Which law is that, and how have you determined that it applies to Shapeshift (in whichever jurisdiction Shapeshift operates)?

This isn’t a trick question. It’s just that it’s up to the person making a legal claim to justify it.

Apekool

member

Activity: 126

Merit: 13

The internet > you

Shapeshift.io offers the service to exchange your crypto currency for another crypto currency by utilizing an automated trading system. Basically you just send coins to an address, and according to their applied rate they will send you another coin.

I don't see a maximum deposit/exchange and no registration/KYC.

Unusual transactions and all transactions above a certain amount are by law to be reviewed by the parties involved in the transaction.

All unusual transactions!

Shapeshift doing anything like that?

Topic: Shapeshift.io moving in the grey area of the law (Read 197 times)