KYC (Know Your Customer)
Definition
KYC is the regulatory process of verifying a customer's identity — typically required by centralized crypto exchanges to comply with anti-money-laundering (AML) laws. KYC involves submitting ID documents, proof of address, and sometimes biometric scans. While inconvenient, KYC-compliant exchanges offer fiat on/off-ramps and consumer protections that non-KYC platforms cannot. Privacy-focused users prefer DEXs and self-custody.
Why Does This Matter?
Understanding KYC (Know Your Customer) is essential for anyone investing in cryptocurrencies or working with blockchain technology. This concept directly influences how projects are valued, how markets behave, and what risks and opportunities exist for investors.
How Does CryptoValue Use This?
At CryptoValue, fundamental concepts like KYC (Know Your Customer) feed into our proprietary Value Score — a rating from 0 to 100 based on 10 on-chain and market metrics. Our goal is to help you identify undervalued and overvalued coins, rather than just looking at price.