KuCoin Crypto Exchange Introduces Mandatory KYC Procedure
Date: 2023-06-29 Author: Karina Ziganova Categories: CRYPTO PAYMENTS
Cryptocurrency exchange KuCoin introduces mandatory Know Your Customer (KYC) identity verification to comply with anti-money laundering (AML) regulations.
Mandatory verification must be completed by all existing KuCoin users starting from July 15, 2023. Without identity verification, they will not be able to access some of the crypto platform's products and services. Moreover, without KYC, they will not be able to deposit money, however, withdrawals will be available.
Existing KuCoin users will still be able to use services such as spot sell orders, reducing the share of borrowing in futures trading. In addition, without KYC, users will be able to repay loans and withdraw money from staking.
Why KuCoin Should Introduce Mandatory Verification
Representatives of the exchange emphasize that KuCoin has always paid attention to the security of users' assets. However, the development of the crypto industry has created certain security problems.
"KuCoin has strengthened the KYC system to comply with regulatory requirements around the world and better protect the asset security of all crypto users with improved KYC rules," emphasized Johnny Liu, CEO of KuCoin.
What other exchanges have introduced mandatory verification
Since May 8, the Bybit cryptocurrency exchange has introduced mandatory KYC for all individuals.
Non-KYC users can now withdraw a maximum of 20,000 USDT per day, with a monthly limit of 100,000 USDT. Those who have not passed the verification before this deadline can only close existing open positions or orders, repay loans, and withdraw funds. Moreover, the crypto platform has imposed restrictions on a number of products: copy trading, banking, Earn, NFT, Reward Center.
In addition to Bybit, back in 2021, the largest cryptocurrency exchange, Binance, introduced mandatory identity verification. So the crypto platform decided to strengthen the "protection of users and the fight against financial crimes." The head of the exchange, Changpeng Zhao, stressed that 97% of platform users agreed to undergo mandatory identity verification.
