Does KYC defeat the purpose of cryptocurrency?

[BrolySSJ]

The number of people that have gotten involved and that are now using cryptocurrency is extensive, with the number of users having a sort of exponential growth from what I can see and the research that i have done. However, with the number of countries that are starting to regulate these coins it has become increasingly important for exchanges and crypto companies to employ kyc verification, allowing them to abide by these regulations. From what i have seen a lot of people got involved with cryptocurrency because of its anonymous nature. therefore do you think that mandatory kyc verification is defeating the purpose of the crypto system?

 

[HayKay]

Well I don't think so really. A lot of fraud is being committed by people that use crpytocurrency.
Imagine the loopholes that still exist despite all these KYC measures in place and think of if they weren't present at all - it would've been like a shark ecosystem.

 

[Lens]

The essence of the kyc is to limit the illegal use of the cryptocurrency. This will quickly triggered users personal identification if a huge some is moved using cryptocurrencies.

 

[Bookwormlux]

The kyc has not been of any much adverse effects to cryptocurrencies as they only help yo make everything look more transparent for business to go smoothly for traders.

 

[Ononivami]

I don't think that KYC affect the purpose of cryptocurrency. It was a feature integrated to curb the illegal use of cryptocurrency. Some would still the public fund and move it via cryptocurrency.

 

[Sincerem]

The decentralized protocol user the crypto currency developers enables a wide variety of individuals to have a say in the state of the crypto currency and if there are regulations it would be through the joint agreement by a lot of bodies or individuals and investors that uses the crypto currency. Any regulations outside the crypto digital realm wouldn't have much effect has people could still trade crypto currency without any trace or system that could monitor their transaction.

 

[Sotherefore]

It does not defeat the purpose of cryptocurrency but I believe the function of the kyc is to limits the criminal rate in a cryptocurrency exchange, if there was no kyc, there could have been a high rate of scamming activities

 

[Electrohunter26]

Well no because you buy crypto using exchanges if you want to keep it anonymous just send your crypto to another wallet and from there semd it to anyone you want to and even if you send it from the wallet connected to the exchange it is still kinda of anonymous plus they want to stop fraud too

 

[Ononivami]

KYC and the decentralised features of cryptocurrencies are two different things entirely. KYC is just to keep track of suspicious humongous money laundering on the exchanges.

 

[Monster Masterpiece]

The KYC can interfere if, for example, you will join and your family same IP address but I do not think that it has big importance as in most cases they also limit 1 account by IP or Wifi means the role of KYC is lost because pass by verification in all cases does not means allow multiple people to have account same IP.

 

[Bookwormlux]

It does not in any way affect the main intention behind the creation of Bitcoin, but it only helps to make sure that things are done in an orderly manner, and not provide opportunities for scammers and teeths.

 

[Lens]

KYC and the decentralised features of cryptocurrencies are two different things entirely. KYC is just to keep track of suspicious humongous money laundering on the exchanges.

There is no connection between KYC and decentralization. The KYC is use for the detection of the movement of large amount of funds. This is used to prevent money laundering.

 

[Ononivami]

There is no connection between KYC and decentralization. The KYC is use for the detection of the movement of large amount of funds. This is used to prevent money laundering.

The KYC is use for the identification of the a account owner and it is basically used to detect any automated operations and to ensure that the exchange is not recruiting robot.

 

[Lens]

The KYC is use for the identification of the a account owner and it is basically used to detect any automated operations and to ensure that the exchange is not recruiting robot.

The KYC was introduced to track the people doing money laundering using the cryptocurrency exchange. The most important thing is that most of the cryptocurrency companies are used for money laundering.

 

[Chibson]

Kyc does not actually defeat the purpose of cryptocurrency. There are different kinds of exchanges such as decentralized exchange and centralised exchange. If you want to use a centralised exchange, doing a kyc is important unnecessary but in decentralized exchange you don't need any kind of kyc. It all boils down to your choice.
There are many illegal activities people use cryptocurrency for and I think regulating it is the right thing to do.

 

[Ononivami]

The KYC was introduced to track the people doing money laundering using the cryptocurrency exchange. The most important thing is that most of the cryptocurrency companies are used for money laundering.

That was the use of the KYC . It was used to track all the illegal movement of money via the cryptocurrency. That is basically what is been done. The KYC Will help to keep track of all those things.

 

[Setho]

In order to avoid things like money laundering and stealing know your customer verification is important but only for exchanges. You can be able to maintain a complete anonymity on decentralised exchanges.

 

[Ononivami]

Kyc does not defeat the purpose of the decentralisation. The kyc is just there to trace a very heavy transactions to some individuals. This was put in place to curb money laundering.

 

[Bookwormlux]

It does not defeat the aim of cryptocurrencies at all, but it only contributes to making sure that cryptocurrencies are not being used for negative reasons as some people may be thinking .

 

[Lens]

The kyc policy does not defeat the exact meaning of cryptocurrency. It was put in place just to ensure that there is no money laundry around cryptocurrency in the exchange.