Binance launched in 2017 as a honeymoon. It didn’t require KYC and traders could trade on Binance from anywhere in the world. Binance introduced the KYC system after Crypto became mainstream. This was due to regulatory bodies around the world bending the arm.
While KYC is an accepted practice on any investment platform, it was a disaster for Binance and crypto. Many users left Binance after the implementation of KYC and switched to no-KYC platforms. It is likely that No-KYC cryptocurrency exchanges will become illegal as regulators take serious measures to combat money laundering and other illicit uses of cryptocurrency. Users would flock to DeFi platforms to learn more.
To keep this guide’s scope, however, I will not be covering the Binance KYC norms or any questions they may raise. You can read my previous review of Binance if this is your first time to read about Binance.
What is Binance KYC? And why have they implemented it?
KYC (Know Your Customer) is the basis of AML/CFT compliance regulations worldwide. Financial institutions must identify and understand the nature of their customers.
This is done to stop misuse of financial instruments, and terrorism financing. If this is not done, anyone or any group could misuse these financial platforms to finance illicit activities.
In 2017-2018, the cryptocurrency industry was still young. Many exchanges, including Binance, had basic KYC that allowed users to join with their email address or mobile number. Binance implemented strict KYC policies as the crypto market grew. Binance did not grandfather in old users. Instead, they allowed them ample time to withdraw funds and complete the KYC. Binance limited or stopped users from withdrawing funds if they have not completed the KYC.
What are the various levels of Binance KYC verification?
Levels of KYC in Binance
There are two levels for Identity Verification with Binance (KyC):
Verified and verified Plus
There is a primary difference between the two verification levels. The withdrawal and fiat deposit limits are different. Additionally, there are a few additional services available to Verified Plus users like Binance Card. The majority of these services can only be accessed with Verified levels of identification. Let’s now look at each one.
This level of verification requires that users provide proof of identity. These would include basic personal information, government-issued ID and facial recognition
For more information, please refer to the Binance Identity Verification Guide.
The Fiat withdrawal and deposit limit for Verified accounts is $50,000. However, this may change in different countries. You can check your Binance “Identification” page to verify your fiat withdrawal and deposit limits.
Verified Plus Users
Verified Plus is an advanced form of verification that requires a user to submit additional documents as proof of address. A Verified Plus user is provided additional services, such as a higher limit on fiat withdrawal and deposit, a Binance Card, and other benefits. Binance accepts the following documents as proof of address: a) Bank Statement b) Utility bills (water, electricity and internet).
Additionally, VerifiedPlus accounts have a daily Fiat deposit limit of $200,000 and a daily withdrawal limit of $200,000 It may differ in different countries. Check your limit by visiting the “Identification” page.
Important points to remember for address proof: A) Your name must match your ID. B) Your address must match the address that you have entered. C) The document must clearly show the name, address, date of issue, and issuer. e) The document should be at least 300 DPI.
This article explains how to verify your address on Binance.
Current status of Binance KYC:
But, let’s fast-forward to 2022. There have been many changes in Binance KYC. Let’s find out what you need to know, whether you are a new or existing user.
You should first read this article to find out what data Binance collects and how they treat your personal information.
Is KYC required for Binance?
Binance has made it mandatory to know your customer (KYC) You can no longer have a Binance account that isn’t working without KYC.
What KYC documents does Binance accept?
Binance accepts the following identifying documents:
Driver’s license / Government-issued Photo ID Passport Social Security number PAN card VoterID Card Utility Bill (Address Proof) Account statement from another bank (Address Proof)
How to verify identity on Binance
This video will show you how to verify your identity on Binance.
How do I change my KYC details?
You can verify your address if you have moved or changed the country where you live.
What about Binance corporate KYC account?
Binance users can create a corporate account. The documents needed for KYC of corporate accounts will vary depending on where you live.
Is it possible to change the KYC on your Binance account
You can modify the KYC for your Binance account. Binance can reset your verification level if you have a verified account. You can then submit new documents.
Upload a copy of the document that clearly shows your full name and business. It must include the following information: date of issue, residential address, and date of issue. Acceptable documents include but aren’t limited to: * A municipal bill for utilities such as electricity, water and sewerage; * A statement of rates & taxes by the bank; * A statement from the body corporate; must include transaction history within 90 calendar days. * Mortgage statement. * Building management statements. * A landline telephone bill. Mobile bills are not accepted.
Do I need to open a new Binance Account if I move abroad?
Binance allows only one verified account. We recommend that you verify your address in the existing account, and then continue to use your verified account. Another option is to close your old account and open a new one. However, Binance support can help you determine if it is possible to re-open an account.
Different KYC regulations apply to different countries or regions
Note: This Binance KYC article still in development. It will be updated with more information and input. We would love to hear from you via comments below if you have any questions about Binance KYC process for personal or business accounts.
Please note: This article is intended for educational purposes only. For the most current rules, please contact Binance Support.
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