AML/KYC Policy

What is the KYC procedure and why is it getting so much attention? We tell you how she can protect you from scammers while maintaining anonymity. KYC and AML checks: why do you need identity verification in the crypto-currency field. KYC (Know Your Customer) is a procedure for verifying the identity of a client and assessing potential risks from him. But why is it needed and why is it almost impossible to buy cryptocurrency today without verifying your identity? Does this not contradict the original principles of anonymity and decentralization of the crypto industry? Today we will analyze what AML and KYC checks are for and how they work. We will also tell you how verification will help reduce the number of fraudsters while maintaining basic user anonymity.

The exchange office has the right to request KYC verification in case of suspicion: Transactions related to money laundering; Transactions involving income from terrorist and criminal activities; Transactions involving income from transactions in illicit drug trafficking; Transactions related to trade transactions with countries with which international trade is prohibited by current legislation Transactions that involve the receipt of income from any other illegal activity.

Anti-Money Laundering is a set of measures to counter money laundering, terrorist financing and the creation of weapons of mass destruction. This procedure includes the identification, storage and mutual exchange of information about customers, their profits and transactions between financial institutions and government departments. Most classical financial institutions use AML measures to check a business that works with cash or uses cash as one of the main assets. They also check those enterprises that have money in different accounts, regularly transfer them to other countries and banks, buy futures and other instruments for cash settlement. In other words, all businesses that can potentially bypass financial monitoring and launder funds fall under verification.

Total risk (in percent) - the probability that the address is associated with illegal activity. Sources of risk - known types of services with which the address interacted, and the percentage of funds received from / given to these services, for which the total risk is calculated.

If the service does not conduct such checks, then fraudsters can use it as a platform for money laundering and terrorist financing. And then the service itself will be held accountable. That is why exchanges and other large cryptocurrency companies implement AML requirements in their business and conduct regular KYC verifications.

Permissible risk limit – no more than 60%.

Transactions whose cumulative AML risk exceeds this threshold are automatically suspended and not processed.

Certain high-risk (critical) tags trigger automatic blocking of a transaction, regardless of its overall risk level.

The high-risk (critical) categories include:

• - Sanctions Scam / Fraud / Phishing
• - Stolen Funds / Hacks / Ransomware
• - Darknet Markets
• - Mixers
• - Terrorism Financing

An threshold of 0,5% is established for each of the specified critical risk categories; reaching this threshold results in an immediate suspension of the operation.

Any direct or significant indirect links to these categories are classified by the system as critical risk and result in automatic transaction blocking, as well as the requirement for additional review, regardless of the overall Risk Score.

Exact Risk Score thresholds are part of the company’s internal procedures and remain confidential, as disclosure could be used to bypass the control mechanisms.

To confirm the origin of the funds, we ask users to answer the following questions:

• - from which platform did the funds come to you? If possible, please provide screenshots from the withdrawal history of the sender's wallet/platform, as well as a link to the transaction in the explorer
• - for what service did you receive the funds?;
• - amount date and time of the transaction;
• - through which contact person did you communicate with the sender of the funds? If possible, please provide screenshots of the correspondence with the sender, where we can see confirmation of sending the funds.
• - screenshots of the withdrawal from the platform from which the counterparty transferred funds to you, which will show the details of the transaction.

List of materials required for KYC verification:

• - Photo or scan of an identity document
• - Selfie with the document;
• - Video verification;

The initial AML check is conducted automatically. Requests for documents upon detection of high-risk tags are sent within 24 hours. In certain cases, a detailed review may take up to 14 business days.

In the event of a refund following the completion of AML/KYC procedures, the service reserves the right to retain a processing fee of up to 5% of the refunded amount, but not exceeding 100 USDT.

For bona fide clients whose funds, after completion of KYC/SoF procedures, are not confirmed to be associated with money laundering, the fee for exchange or refund must be limited only to the applicable network fee.

Refunds are only available to users who have completed KYC and are not found to have ties to money laundering or other unlawful actions.

Users who fail verification or are confirmed to be involved in illicit activity are not eligible for a refund.

In the event that, as a result of an AML screening, a transaction receives a High-Risk flag related to minor risk categories (including, but not limited to, the Illegal Service tag), and the conducted analysis does not reveal objective and sufficient grounds to believe that the user maintains a consistent or intentional connection with high-risk entities, the following procedure shall apply. If the provided information and the results of the internal review do not confirm a substantial connection between the user and high-risk sources, the service reserves the right to refuse execution of the exchange transaction and return the received funds to the sender. In such cases, completion of the KYC procedure shall not be a mandatory requirement for the refund of funds. The refund shall be processed within a reasonable period (not exceeding 10 days) with deduction only of the actual network fees, if applicable and as предусмотрено правилами сервиса. This provision shall apply exclusively in the absence of additional risk factors, indications of attempts to circumvent compliance procedures, or other circumstances requiring enhanced due diligence in accordance with the service’s AML policy.