What's new

Does KYC defeat the purpose of cryptocurrency?

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?
In as mush as the whole essence of the cryptocurency trading platform used for quick and fast online transaction and e-commerce payment confirmation without the need of a third party,it is all good for kyc because it needs some form of security.
 
No, i don't think the mandatory kyc verification is defeating the purpose of crypto system. Kyc verification is meant to be of help to stop illegal transactions with crypto currencies.
 
No, i don't think the mandatory kyc verification is defeating the purpose of crypto system. Kyc verification is meant to be of help to stop illegal transactions with crypto currencies.
I believe the kyc verification is mainly to cut the rate of criminal activities. This is the best because if kyc was not invented a lot of people could have used their account for a lot of dubious activities.
 
If you want to use centralized exchanges and wallets, you have to do KYC. These exchanges and wallets have to follow the financial regulations of the countries where they operate, You need to understand this fact.
They are more secure from wallet that reveals your seed phrase that could be unfortenally compromised for them they maintain a high security level for your funds.
 
Cryptocurrency was built so that it would remain anonymous and that's basically it's nature and this very idea is really not helping with that. But in the bright side, I think it's necessary to limit the possibility of funding illegal projects through cryptocurrency.
The problem of illegal activities is even with fiat currency and even with bank transaction so it is big lie from them to just let the people leave crypto world no more than that.
 
If you have nothing to hide, you shouldn't be scared of KYC. Most times, that information has come in handy when one user tries to scam another on these exchanges. It also makes people cautious of what they do hence reducing the illegal use of crypto.
 
The problem of illegal activities is even with fiat currency and even with bank transaction so it is big lie from them to just let the people leave crypto world no more than that.
You're right about that. If there's someone that willing to fund illegal operations using cryptocurrency then it would definitely be the government. So many of them are even backing terrorists.
 
I think the KYC system is helping the cryptocurrency market. So many people had abused the anonymous nature by engaging in criminal activities using crypto. But now with KYC, criminals can be traced.
 
Kyc does not affect the purpose of cryptocurrency because it is by that means they will know people who cheat in those crypto mining and those 10 people have more than one account.
 
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?
KYC (Know Your Customer) measures are necessary for cryptocurrency exchanges to operate legally in certain jurisdictions. KYC measures help prevent fraud, money laundering, and other illegal activities. However, KYC measures can also limit the privacy of users, which goes against the decentralized, anonymous nature of cryptocurrency. Therefore, it can be argued that KYC does defeat the purpose of cryptocurrency to some extent.
 
Some contend that requiring individual identification and verification violates the decentralization and anonymity concepts that many cryptocurrencies rely on. Others claim that KYC is essential for ensuring regulatory compliance and stopping criminal activities like money laundering and terrorism financing. In the end, one's perspective and opinions about the function of regulation in the financial sector will determine whether KYC is advantageous or detrimental to the bitcoin market.
 
In some ways one might say yes but the truth of the matter is that safety has to come first. There are so many persons who have been scammed through crypto, or use crypto currency to carry out various fraudulent activities. This is a way to reduce such risk to some level.
 
Yes, I think KYC defeats the purpose of Cryptocurrency. But Centralized Exchanges use KYC to be able to prevent Money Laundering in the crypto space and trace illegal transaction, which is not very bad but it gives them unnecessary control.
 
That is not necessarily true, kyc was brought due to the scam rates that are occuring in cryptocurrency wallets. So it sees to the safety of ones investments rather.
 
This is an interesting topic, maybe if most people have to go through a KYC and only operate in CEX (centralized exchanges) the sense of decentralization may be lost a bit, but this all depends on the user and how manage in the crypto world, because for example you can use DEX where not much information about you is required to operate, you can do p2p transactions...
 
Many cryptocurrency exchanges and services employ the KYC procedure to confirm the identification of its users. Although some cryptocurrency supporters view KYC as an essential step to boost legitimacy and stop illegal activities like money laundering, others contend that it violates the principles of anonymity and decentralisation upon which cryptocurrencies were founded.

In that it reduces part of the secrecy and anonymity that cryptocurrencies offer, KYC can be perceived as negating the purpose of cryptocurrencies. The capacity to carry out transactions without the need for a central authority and without disclosing personal information is one of the key benefits of using cryptocurrencies. Yet, KYC necessitates users divulging their names, which may reduce the privacy of transactions.
 
The kyc policies are only implemented by the centralized cryptocurrency exchange and that could go a long way to forfeit the decentralized features of cryptocurrency.
 
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?
KYC registration is very important. There are some people who always carry out fraudulent activities in some exchanges. The KYC registration will help to track down people like that.
 

Newest Directory Listings

WWE Hub is a discussion forum for all things wrestling! Share and chat with other wrestling fans throughout the world!
momode
Forums
Clicks
1
Views
7
ABCProxy is cost-effective, ethical residential proxies network!
coderway
Forums
Clicks
3
Views
27
AI digital artwork generator
Back
Top