What is KYC and why is it required?

What does KYC in mean?

Know your customer (KYC) is the first stage of anti-money laundering (AML) due diligence. When a new customer is onboarded, KYC procedures are required to identify and verify the customer’s identity. These processes allow Crypto Exchanges to prevent and identify money laundering, terrorism financing, and other illegal corruption schemes.

What are the benefits of Crypto KYC?

Verifying user identities benefits transparency and customer trust. When users feel confident that their cryptocurrency exchange is taking proactive and preventive measures to protect their accounts, they are more likely to continue using the service.

Less money laundering and scams

Between January 1, 2021, and March 31, 2022, more than 46,000 consumers reported losing over $1 billion in crypto to fraudsters. (Fletcher 2022) Vigorous identity verification can significantly reduce fraudulent activity and improve market reputation.

‍Reduced legal risk

As legal requirements evolve, robust KYC processes will keep businesses ahead of the curve. KYC methods enable us to prevent/limit fake identity instances, prevent money laundering, and assess customer risk by requiring government-issued identification and identifying financial history and assets. These steps allow businesses to reduce legal and regulatory risks, freeing time to focus on increasing conversion rates, expediting transactions, and ensuring compliance.

‍Increased market stability

The cryptocurrency market is notoriously volatile because of suspicious, anonymous transactions. KYC programs that feature increased identity verification contribute to the market’s overall stability and value growth.

How to complete the verification process?

KYC check is a process of identifying and verifying the identity of the client.

KYC procedures help us prevent and identify money laundering, terrorism financing, and other illegal corruption schemes. When completing a purchase, you may be required to complete your verification (KYC). In order to complete this process, you will need to carry out the following steps:

1. Once you have selected the crypto you would like to purchase, you will need to complete your payment.
2. Once your payment is completed you will be presented with a completion screen.
3. The page will re-load and you will see a verification icon loading in.
4. You will be required to enter your residential details.
5. You will then be required to upload proof of ID, either your Passport or Driving License.
6. Liveness check is now required, the system will need access to your camera.
   • a. You will be asked to move your head in a certain manner.
7. Once completed you will see a verification loading scree.
8. If you pass the verification successfully you will see a verification complete screen and you will receive an email confirmation the same.
9. Once you have completed the verification you will see your transaction displaying that “Your funds are on the way”.
10. Depending on the purchased crypto it should take no longer than 30 minutes to receiving this into your account.

I am being requested to Complete Verification, but I don’t want to, can I get a refund?

KYC check is a process of identifying and verifying the identity of the client.

KYC procedures help us prevent and identify money laundering, terrorism financing, and other illegal corruption schemes.

If you do not wish to complete your verification with us, you will not be able to use our services.

If you have a pending transaction and have already logged out of your application, this transaction will be automatically rejected after 24 hours, and your funds will be within your account in 72 hours. If after 72 hours you have not received your funds, please contact us on info@waltzer.io and we will look into this.

Alternatively, you can cancel the transaction yourself by navigating to the transaction History section and selecting the transaction requiring you to “Complete Verification”. You will then be taken to a page where you have the option to cancel the transaction. Once cancelled your funds will be released to you within 72 hours.