KYC has become a must-have for any trading platform these days. Without KYC, you won’t be able to fully use the platform for deposits, withdrawals, and trading. Therefore, KYC is always the first step in any new trader’s experience.
In this article, we will review what KYC is, the steps involved in doing it, and why some users always fail this process.
What is KYC?
KYC stands for Know Your Customer. KYC aims to authenticate your identity with the platform to ensure the security of its ecosystem and avoid providing services to internationally banned individuals or entities.
KYC is a traditional process for any financial service like banks. But in banks, KYC is usually done by you in person at a bank branch and meeting a specific employee. While in the cryptocurrency market, all KYC is done online, which can be complicated for some users.
Steps to perform KYC on Binance platform
From your account icon, tap Get Verified.
Select your country of residence.
Enter the information of the identity document you have available (ID card, passport, or driver's license).
Enter your residence details (home address, city, and country).
Complete the video verification process.
KYC stages
If you are a new user to Binance, the KYC process you will go through is basically providing proof of identity. The first stage of KYC unlocks the Classic tier, which is limited to daily withdrawal limits and trading fees on your account.
But if you want to upgrade your account to VIP, you will be required to complete the KYC process by providing proof of residential address and, in some cases, proof of wealth.
What is proof of address?
It is to submit an official document that matches the residential address you provided in the KYC procedures, and it is required to achieve the following:
The document contains your name that matches your name on the platform.
The document must not be older than 3 months.
The document must include your name, address, date of issue, issuing authority, and a contact information for the issuing authority.
There are many different types of acceptable documents, and the situation varies from country to country, but in general, acceptable documents include utility bills, home insurance policies, and letters from the bank.
What is proof of wealth?
It is a procedure that requires proof of the source of wealth, in order to avoid illicit funds. The wealth proof procedure includes providing documents that prove the source of your money, such as salary, self-employment, inheritance, loans, pension, savings, real estate, cryptocurrency investment, and others.
Solve KYC issues on Binance
There are two reasons for KYC issues while registering on Binance:
Submitting incorrect documents.
Video identity verification failed.
For the problems of submitting incorrect documents, each country has a preferred type of document. In all Arab countries, it is preferable to use an ID card as the first choice, except for Kuwait, Tunisia and Lebanon, where it is preferable to use a driving license as the first choice.
As a second option, in all Arab countries, it is preferable to use a passport, except for Bahrain, Jordan, Morocco, Oman, Qatar, Saudi Arabia, the United Arab Emirates and Libya, where it is preferable to use a driver’s license as a second option.
For video verification failure, you must ensure that while performing the verification you are in a well-lit place, and you are not wearing glasses or anything on your head.
For women, there is no problem in verifying with a hijab, but in the case of a niqab, the face will have to be revealed for verification. It is worth noting that the video recorded in the video verification process is very private and is not shared with the platform directly for viewing.