Binance Tightens Customer Verification Process Amid Push for Regulatory Compliance

Global cryptocurrency exchange Binance is rolling out immediate verification requirements for all its users in support of its expanded know-your-customer (KYC) policy and anti-money-laundering efforts.

In a recent statement, the firm says that it’s tightening customer verification to make Binance a safe crypto platform.

The crypto exchange says it is requiring all of its users to go through intermediate verification in order to further improve its risk management protocols and user protections. Completion of this new requirement involves the submission of ID documents and the user’s photo for facial verification.

Users who decline to go through the additional verification steps will only be able to withdraw funds, close positions, cancel orders and redeem tokens.

Binance CEO Changpeng Zhao says the crypto exchange is tightening its verification requirements to improve the platform’s security. 

“Our vision is to create a sustainable ecosystem that is safe for all participants. In the last four years, we have laid the groundwork by investing heavily in security and user protection, supporting law enforcement from around the world with high-profile investigations and helping cybercrime victims recover millions of dollars worth of stolen funds.” 

The move comes as Binance takes steps to comply with regulatory standards across various territories. The exchange is currently facing scrutiny from financial regulators around the world.

Last month, the platform adjusted the daily withdrawal limit from 2 Bitcoin to 0.06 Bitcoin for users who do not complete a full KYC verification.

Binance also adopted other measures to enhance user protections, including plans to reduce its users’ max leverage from 100x to 20x.

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Source: https://dailyhodl.com/2021/08/22/binance-tightens-customer-verification-process-amid-push-for-regulatory-compliance/