When Bitcoin first appeared more than ten years ago, no one needed to verify their identity to buy it. The act of purchasing cryptocurrency was mostly anonymous. However, that doesn’t mean it was easy to buy. Cryptocurrency exchanges today make trading crypto more straightforward than ever. Use your credit card, or make a quick SEPA deposit. Whichever your preferred deposit method is, it’s easy, but convenience comes with a price. In this case, the price is having to verify your identity.
Why You Need to Verify Your Identity
User Verification is a process by which users authenticate their identity to use all of the features provided by CoinField. We require identification information for specific transactions to prevent fraud depending on your funding method.
Know your customer (KYC) refers to due diligence activities that financial institutions and other regulated companies must perform to ascertain relevant information from their clients to do business with them.
Anti-money Laundering (AML) is a set of procedures, laws, or regulations designed to stop the practice of generating income through illegal actions. In most cases, money launderers hide their actions through a series of steps that make it look like money coming from illegal or unethical sources was earned legitimately.
Trust and Transparency
All legitimate cryptocurrency exchanges will require you to upload your identity documents and verify them. If you are trading with an exchange that does not require this, be careful. Even though regulations vary from country to country, that act of verification ensures a safety level on the exchange. Exchanges that know their customers can help prevent fraud, market manipulation, hacks, phishing, and other unwanted activity on their platform.
A fully compliant exchange is trustworthy. You can have peace of mind knowing that the exchange is handling your crypto safely and is not one big scam in itself. With some cryptocurrencies such as bitcoin and ether hitting all-time highs, it makes sense to trade it on exchanges that do their due diligence.
A Necessary Evil?
Some crypto enthusiasts missed the days when trading crypto was mostly anonymous. After all, one of the appeals of using cryptocurrency over fiat is that crypto is sent to a wallet address, not a name. Another attraction is decentralization. Unlike banks that essentially control and hold your money, your cryptocurrency is owned by you alone. KYC and AML procedures might upset those who wish for complete anonymity, but even though exchanges know who is trading, it doesn’t mean that cryptocurrency is centralized. You still control your crypto. If you transfer your crypto to a private wallet and keep your seed words safe, no one can ever take it from you.
KYC and AML are good things. Compliance helps prove that crypto is no longer used to purchase illegal goods and services online. Crypto can be used as a currency, a store of value, and an investment. Transparency and trust are key to mass adoption, and compliance helps facilitate this.
How to Verify Your Account
At CoinField, we have two account levels: Demo and Pro. To deposit funds, trade, and withdraw, you must verify your account to the Pro level. It takes just a few steps to verify your account!
- Sign up for an account with your email address.
- Check your email and click on the verification link
- Verify your phone number
- Go to your account settings, click profile and enter your information
- Go to Document Centre and upload the required documents
The documents you must upload include a government-issued photo ID, a proof-of-address document, and a selfie that shows your face, ID, and a note that says “For CoinField” with the date and your signature. For full details of the required identity documents, visit our Support Centre.
If you are not automatically approved, our compliance team will manually review your documents and details. They will be in touch within 24-48 business hours if further information is required, or if you have successfully verified your account. Our compliance team can be contacted at firstname.lastname@example.org.
Once you have a Pro account, you can deposit and withdraw up to $2 million USD per day!
Sign up for a CoinField account to start trading today.