<p><a href="https://www.irs.gov/businesses/international-businesses/list-of-approved-kyc-rules" rel="nofollow noreferrer">https://www.irs.gov/businesses/international-businesses/list-of-approved-kyc-rules</a></p>

<p>These are the KYC rules for each country. Do not let places take advantage of you. I had one trader ask for a phone call verification from a country where that wasn't even the required law according to their KYC. So, work out your limits and what you feel comfortable with doing as a buyer and stick to it. You will find many traders that operate properly with you according to your personal privacy requirements.</p>

CC BY-SA 4.0
2020-05-21T11:18:50.243Z
2020-05-21T11:18:50.243Z
Siren
<p>KYC and AML are required if the entity is moving money from A to B. Those entities are referred to as MSB (Money Services Business). However crypto exchanges are are not truly MSB's but they still do KYC and AML. See this insightful article: <a href="https://hackernoon.com/bitcoin-is-not-money-if-you-seek-compliance-you-are-asking-for-trouble-cbe9107e5298?source=linkShare-ea6a485c6847-1499320847" rel="nofollow noreferrer">https://hackernoon.com/bitcoin-is-not-money-if-you-seek-compliance-you-are-asking-for-trouble-cbe9107e5298?source=linkShare-ea6a485c6847-1499320847</a></p>

CC BY-SA 3.0
2017-07-06T06:01:47.787Z
2017-07-06T06:01:47.787Z
dotglum
<p>In the US, these are called "Know your Customer", and "Anti Money Laundering" (KYC/AML) laws and is enforced by FINCEN (financial crimes enforcement network) in the US for any businesses that qualifies as a "Money Service Business" or "Money Transmitter".   </p>

<p>This guidance published on March 2013, <a href="http://fincen.gov/statutes_regs/guidance/html/FIN-2013-G001.html" rel="noreferrer">http://fincen.gov/statutes_regs/guidance/html/FIN-2013-G001.html</a> , makes it clear that Bitcoin exchanges must comply with existing regulation for KYC/AML. </p>

CC BY-SA 3.0
2015-10-19T04:35:05.073Z
It also protects the exchange against all kinds of scams. It directly protects against a single entity controlling a large number of accounts and using them to perform wash trades or create false volume. And it indirectly protects against fraud because customers know that they exchange can come after them legally if they're not anonymous.
David Schwartz
CC BY-SA 3.0
2015-10-18T22:10:13.490Z
2015-10-18T22:10:13.490Z
k kurokawa
<p>The vast majority of the Bitcoin trading platforms both in the US and the UK require some sort of ID verification in order to make Deposits/Withdrawals.</p>

<p>Is this because of these two countries current legislation? does this obey to some sort of policy?</p>

<p>Thanks.</p>

<trading><usa><aml><know-your-customer><uk>
Why do most trading platforms require ID Verification?
MauroMSL
# Why do most trading platforms require ID Verification?

(Asked by: username_0 on 2015-10-18)

The vast majority of the Bitcoin trading platforms both in the US and the UK require some sort of ID verification in order to make Deposits/Withdrawals.

Is this because of these two countries current legislation? does this obey to some sort of policy?

Thanks.

**Tags:** trading, usa, aml, know-your-customer, uk


---

## 3 answers

### Answer by username_3 on 2015-10-18. Score: 5 | Accepted answer

In the US, these are called "Know your Customer", and "Anti Money Laundering" (KYC/AML) laws and is enforced by FINCEN (financial crimes enforcement network) in the US for any businesses that qualifies as a "Money Service Business" or "Money Transmitter".

This guidance published on March 2013, <http://fincen.gov/statutes_regs/guidance/html/FIN-2013-G001.html> , makes it clear that Bitcoin exchanges must comply with existing regulation for KYC/AML.

> **Comments:**
> **username_4**: It also protects the exchange against all kinds of scams. It directly protects against a single entity controlling a large number of accounts and using them to perform wash trades or create false volume. And it indirectly protects against fraud because customers know that they exchange can come after them legally if they're not anonymous.  

---

### Answer by username_1 on 2020-05-21. Score: 2

<https://www.irs.gov/businesses/international-businesses/list-of-approved-kyc-rules>

These are the KYC rules for each country. Do not let places take advantage of you. I had one trader ask for a phone call verification from a country where that wasn't even the required law according to their KYC. So, work out your limits and what you feel comfortable with doing as a buyer and stick to it. You will find many traders that operate properly with you according to your personal privacy requirements.


---

### Answer by username_2 on 2017-07-06. Score: 1

KYC and AML are required if the entity is moving money from A to B. Those entities are referred to as MSB (Money Services Business). However crypto exchanges are are not truly MSB's but they still do KYC and AML. See this insightful article: <https://hackernoon.com/bitcoin-is-not-money-if-you-seek-compliance-you-are-asking-for-trouble-cbe9107e5298?source=linkShare-ea6a485c6847-1499320847>


---

