Dictionary Regulation & Compliance
Know Your Customer
Also known as KYC identity verification
Know your customer, or KYC, refers to the checks financial service providers carry out to verify the identity of their customers, typically by collecting names, government ID and addresses. Many jurisdictions require regulated crypto businesses such as exchanges to perform KYC to combat fraud, money laundering and sanctions evasion. KYC improves accountability but means customers must share personal data with the service provider.