The Anti-Money Laundering Protocols – using Know Your Customer

Coinxes P2P News

Five short years ago 90% of crypto-currency trading was criminal activity. The unregulated nature of the beast meant that it attracted the money-launderers, high-end thieves and even terrorists. This inauspicious start lead to many questioning the wisdom and usefulness of the new financial landscape. Fortunately canny investors recognised that if regulated properly and used wisely crypto-currency could revolutionise the way money was earned, spent, invested and distributed.

Jump forward five years and the tables have turned. 90% of trading in crypto-currency is now done by investors while the final 10% is criminal in nature and reducing month by month. What has contributed to this spectacular turn for the respectable?

The Financial Action Task Force sets the international standard for combating money laundering. Formed in 1989 by leaders of countries and organizations around the world, the FATF is an international body of governments that sets standards for stopping money laundering and promotes the implementation of these standards.
The FATF developed a series of recommendations that were adopted in February 2012 to give its 35 member countries and two regional organizations a comprehensive set of measures to implement in the fight against money laundering, terrorist financing and financing of the proliferation of weapons of mass destruction.*

When these protocols were adopted by the early crypto-exchange platforms the tide began to turn. The Know Your Customer (KYC) procedure has become the industry standard for crypto-trading and weeds out those who would exploit the “trust-less” environment of online trading.

Notably these procedures are under the Exchange’s purview of the responsibility. So new-to-the-industry traders do well to search out the companies that take AML very seriously before venturing in to the world of crypto-currency.

One fine example of such a company is
This is a state-of-the-art exchange recently launched that is determined to ensure that its users are on the up-and-up. They are a peer-to-peer decentralised exchange that is virtually immune to hacking and uses AML/KYC to verify all of their traders before any money can change hands. You may think, “What price peace of mind?” but it turns out that trading on their platform is considerably easier on your crypto-wallet than you’d imagine!

Check them out: