Know your customer (KYC) legislation requires businesses to verify the identity of people using their service, especially when the transfer of money is involved. This includes virtual currencies. As a result, most crypto exchanges enforce KYC, Bitcoin.com reported.
An ethical requirement for those working in the securities industry, Know Your Customer (or Client) deals with customers during the opening and maintainance of accounts.
However, it is not mandatory to use a KYC exchange (also referred to by critics as “surveillance exchanges”) to trade. Several exchanges legally operate in areas that do not mandate KYC or have no official headquarters, placing them in a gray area of legal obligations.
Exchanges with and without KYC won’t allow trading for U.S. residents.
U.S. traders and investors are going around this by using a VPN (virtual private network) on exchanges that don’t require KYC.
There are risks. Exchanges can close your account and it’s not guaranteed you will get your capital back. KYC exchanges that are fully regulated offer better protection for their customers, Bitcoin.com reported. You may have better luck getting your money back in the event of a hack.
Bitcoin.com came up with a list of six cryptocurrency exchanges that do not require KYC. These include:
Having a quality VPN allows for online privacy but buying it with a traditional credit card or PayPal can be risky, VPNMentor reported.
Cryptocurrencies such as bitcoin have become more popular for buying VPNs, but not every provider will accept them.
VPNMentor said it tested hundreds of VPNs and came up with a list of five VPNs you can purchase with cryptocurrency to use for anything from casual browsing to access to Netflix.
These include:
When buying a VPN with cryptocurrency, VPNMentor suggests using a separate email that doesn’t include sensitive personal information.
