Study: Cryptocurrency Exchanges, Wallets Lax About Customer ID Compliance
  • 6 years ago
Investing.com - Most major cryptocurrency exchanges and wallet firms don't require sufficient customer information, making them vulnerable to criminal activity, according to a new study.Consulting firm P.A.ID says its examination of 25 major exchanges and wallets in North America and Europe found that 68% of them allowed customers to trade currencies without formal identification. Many also did not follow the standard financial industry ID verification procedure called know your customer, or KYC.The study found that Coinbase, Gemini, ItBit and Poloniex were the best at identifying customers, while SpectroCoin and Inda were the worst.Financial regulators and government officials have warned that cryptocurrencies are being used for money laundering and terror financing. Europol recently broke up an international crime ring that was laundering drug money through a Finnish crypto exchange.
Recommended