KYC is an acronym for “Know Your Customer” in English. It means to know your customer. KYC is used to identify and verify users in traditional financial systems and cryptocurrency platforms. You can find answers to the questions of what KYC is and why KYC is important for users.
What is KYC?
KYC is an information verification system in which user information is approved by a central institution. This information often includes users’ identification documents, phone numbers and addresses. Users who do not save their information to the system may have limited processing capacity. Users can increase the transaction limit and transaction options they can do on the platforms with complete KYC transactions
Why is KYC Important?
KYC covers the work done by central authorities to secure users to prevent money laundering. Cryptocurrency platforms receive user information following the laws and exist in the markets within the framework of those laws. Thus, users’ account security is protected by the central authority on cryptocurrency platforms.