Binance Sets High Standards for User Protection

Binance sets high standards for user protection. Cryptocurrencies are gradually becoming an integral part of the global financial market, with around 100,000 people joining the crypto space every day. Crypto exchanges are the pioneer entry mark for many new users. Many of these platforms usually allow them to buy their first crypto asset with fiat. Crypto exchanges have been acquired over the past decade. Today they are considered and regulated as financial institutions. Therefore, they are expected to comply with KYC and anti-money laundering regulations.

KYC helps a regulated crypto exchange verify the identity of its users. In particular, to check the legality of their activities and determine the risks of money laundering. Having this knowledge will help the trading platform better protect its customers.

Binance and Safety

Binance is the world’s hugest crypto exchange by user foundation and transaction volume. As a result, the company always makes a conscious effort to strengthen customer protection, risk management protocols, and overall security. Also, the exchange wants to provide users with a fully compatible crypto platform. Therefore, it has created a robust compliance system that implements AML and CFT standards to eliminate suspicious activities on the platform. For this reason, all users must complete a three-step KYC process to become “verified” Binance users. This is a necessary step before being able to access the company’s full range of products and services.

The first step of the KYC process is simple and requires users to provide basic information. The second step is customer due diligence. In fact, this involves checking the user’s background for a risk assessment. The final step contains continuous monitoring to assure that KYC data is up to date. This allows the system to check future transactions that may appear suspicious.

The platform uses several sophisticated techniques and industry-level tools to detect and resolve money laundering issues in the crypto space. Also, the exchange has covered heavily in its compliance program. The company currently works with some of the largest KYC/AML tools and vendors, including Elliptic, WorldCheck, CipherTrace, Jumio, and Onfido.

The post Binance Sets High Standards for User Protection appeared first on FinanceBrokerage.