KuCoin enforces mandatory know-your-customer verification

KYC registration will be rolled out on July 15

article-image

ktsdesign/Shutterstock modified by Blockworks

share

KuCoin is making know-your-customer verification mandatory to better comply with regulations.

The exchange will restrict users who don’t go through know-your-customer, or KYC, registration from accessing certain features. According to a press release, non-KYC users will only be able to use “spot trading sell orders, futures trading deleveraging, margin trading deleveraging, KuCoin Earn redemption, and ETF redemption.” 

Withdrawals will still be available, but deposit services will not.

“With the development of the cryptocurrency industry, crypto has gradually moved from a geek towards mass adoption. However, this process has also brought about certain security issues concerning on-chain assets,” KuCoin CEO Johnny Lyu said in a statement. 

The new KYC registration goes into effect on July 15. 

Binance, in 2021, made a similar move. It announced that new users had to go through an “intermediate verification” process to access Binance’s services and products. Through the process, users had to verify their country of residence and nationality and provide a government-issued ID. 

KuCoin’s move comes after it faced legal action from multiple countries. 

In March of this year, New York Attorney General Letitia James sued KuCoin, claiming that the Seychelles-based company operated in New York without registering as a securities and commodities broker-dealer. 

KuCoin, however, was not the only crypto company targeted by James as the NYAG cracks down on crypto

In June 2022, Canada’s Ontario Securities Commission banned KuCoin from operating in the Ontario province and fined the company 2.1 million Canadian dollars, or roughly $1.6 million.


Don’t miss the next big story – join our free daily newsletter.

Tags

Upcoming Events

Hilton Metropole | 225 Edgware Rd, London

Mon - Wed, March 18 - 20, 2024

Crypto’s premier institutional conference returns to London in March 2024. The DAS: London Experience: Attend expert-led panel discussions and fireside chats Hear the latest developments regarding the crypto and digital asset regulatory environment directly from policymakers and experts.

Salt Lake City, UT

WED - FRI, OCTOBER 9 - 11, 2024

Pack your bags, anon — we’re heading west! Join us in the beautiful Salt Lake City for the third installment of Permissionless. Come for the alpha, stay for the fresh air. Permissionless III promises unforgettable panels, killer networking opportunities, and mountains […]

recent research

Top Icon.png

Research

Osmosis thrived in H2 2023 on the back of increased DeFi activity deriving from recently launched Cosmos-related projects and better market conditions. With new value accrual mechanisms for the native token, Osmosis is well-positioned to continue its strong performance in 2024.

/

article-image

Though the opposing flow trend is likely to slow over time, industry watchers note, bitcoin fund assets could one day eclipse the $90 billion gold ETF space

article-image

Celestia had the first mover advantage. EigenDA has staked ether. What sets Avail apart?

article-image

Bitcoin moved 1% higher Monday morning in New York, Matrixport analysts say $62,000 could happen next month

article-image

It’s hard to believe right now that crypto — even with all of its flexibility and massive capabilities — could ever be like cash on the internet

article-image

Michael Saylor announced Monday morning that MicroStrategy bought 3k more bitcoin after the X account was compromised over the weekend

article-image

Plus, Pudgy Penguins grows its brand and a group of Autoglyphs sell for $14.5 million