You may be familiar with the term KYC, or "know your customer." This is a process that businesses use to verify the identity of their customers, typically for regulatory compliance and to prevent fraud. We are implementing KYC checks on both the Venly Market and in the Venly Wallet, in order to comply with European MiCA (Markets in Crypto Assets) regulations. 

KYC is a necessary step for many businesses operating in the financial industry, as it helps ensure that they are not facilitating illegal activities or transactions. This is especially important in the world of cryptocurrency, where the decentralized and anonymous nature of the technology can make it a potential target for money laundering and other unlawful activities. In the cryptocurrency industry, non-verified accounts may have limited functionality. Implementing KYC procedures can help improve the reputation of cryptocurrency overall by reducing the use of digital currency for illicit activities. 

Here’s what these changes mean for you:

KYC for Venly Market

Users will need to have verified their identities to:

• Withdraw more than 1000 USDC in a single 30 day period.

Users will NOT need to have verified their identities to:

• Buy, sell or transfer NFTs.

KYC for Venly Wallet

Users will need to have verified their identities to:

• Transfer native and ERC20 tokens.

Users will NOT need to have verified their identities to:

• Sign-up for a Venly Wallet

These changes will not affect wallets created using the Venly Wallet API, only the Venly Wallet and Widget. 

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How to verify your identity

We are partnering with Veriff to handle KYC verification. When you attempt to complete one of the actions listed above, you will be asked to provide a picture of a valid ID document (such as a passport or driver's license) and a selfie. This process can be completed easily on a laptop or phone. Veriff will then verify these documents and you will be able to continue with the requested action. This process will only be necessary once. 

In the future, users who have already gone through the KYC process will have a verified badge next to their account name, providing a visible indication of their identity verification status. This will eliminate the possibility of fake accounts.

This is in line with regulations that aim to prevent money laundering and other illegal activities by limiting the number of anonymous transactions.

The implementation of KYC by Venly is necessary to comply with European MiCA regulations and to prevent fraud and other illegal activities. We’ve worked hard to make the process as quick and easy as possible. Ultimately, the benefits of a more secure and compliant platform mean a better Web3 for us all. 

Please reach out to us on Discord if you have any questions!