KYC
KYC (Know Your Customer) is identity verification at an exchange or broker: documents, sometimes a selfie. Regulators require it to fight money laundering.
How it works
When you sign up with a centralized exchange or broker, you are asked to upload a passport or ID card, sometimes take a selfie or video, and confirm your address. The company checks the data and decides which limits to give you. Without KYC you usually cannot deposit by card or withdraw large amounts.
KYC is part of anti-money laundering (AML) and counter-terrorist financing rules. Licensed companies must know who their customers are. That is why you go through it almost anywhere you can swap crypto for regular money.
The downside is that you hand personal data to a company, and it can leak. So only do KYC on the official website or app. Decentralized exchanges (DEX) usually have no KYC, but they also have no support if something goes wrong.
You sign up on an exchange. Without verification you can only look around. After you upload your passport and a selfie (usually anywhere from a few minutes to a couple of days), card deposits and withdrawals open up. For large amounts you may also be asked for proof of address or source of funds.
A dangerous mistake is doing "KYC" through a link from an email, a chat or "support" in a messenger. Scammers use this to collect documents and fish for seed phrases. Real KYC never asks for your seed phrase or password. Only go through the official site or app that you opened yourself.
Questions and answers
What is KYC in simple terms?
It is a check that you are who you say you are. The exchange asks for an ID and a selfie before giving you full access to your account.
Is it safe to do KYC?
On an official licensed platform it is a standard step, but there is always some risk of a data leak. Check the site address and never send documents through links in messages.
Can I buy crypto without KYC?
On major centralized exchanges, almost never. DEXs and some P2P trades work without it, but scam risk is higher and there is no support.
Related terms
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Updated: 2026-10-19