What is Know Your Customer (KYC)?

Know Your Customer (KYC) regulations require financial institutions to verify the identity of their customers to prevent money laundering, terrorist financing, and other financial crimes. KYC involves collecting and verifying customer information, such as identity documents, proof of address, and source of funds. While KYC enhances security and transparency, it also raises concerns about financial privacy and data security. This article explores KYC, its process, impact, relationship with Anti-Money Laundering (AML) and Know Your Transaction (KYT), and its role in the cryptocurrency world.