Poloniex restores unverified accounts’ trading of Litecoin, BTC, ETH and other cryptos
Poloniex took a step in the opposite direction, during a period of pressure that forced cryptocurrency companies to comply with expanding due diligence requirements. As 2019 ends, looking back on the year, the cryptocurrency industry has seen some growth in its ecosystem. The exchange is removing restrictions that apply to unverified users to meet customer needs. New and existing accounts will enjoy unlimited access to transactions and deposits.
However, Poloniex appears to be lowering it as it reveals that unverified customers can trade on the platform. In the meantime, some exchanges have implemented complex rules of customer knowledge [KYC] as well as anti-money laundering [AML] to be more compliant with regulators.
Over the next few months, the current accounts of unverified customers will be frozen and upgraded to level 1 accounts; the platform was announced in a tweet this week. These users will have access to unlimited deposits and transactions, while withdrawals will be limited to a daily maximum of $ 10,000. Starting now, all new customers can create accounts with just their email address and password and start trading.
Poloniex revealed in a blog post about this issue:
“We have heard your feedback over and over about wanting to use Poloniex without giving up your identity. We wanted to make this a reality for a while, and unfortunately, it took us longer than we did”.
New account-level means that anyone who registers to trade from now on will be able to start trading immediately, and the existing accounts of unverified users will gradually be upgraded to Level 1.
However, the community does not seem to approve the latest exchange move because some point out that this will initiate the opening of some fake accounts primarily to launder cryptocurrencies. From a business standpoint, one Twitter user said:
“This is a bad business decision. You will attract a lot of new traders in a short time, but in the long run, it will become a problem”.
In addition, Tron’s Justin Sun also commented similarly,
— Justin Sun (@justinsuntron) December 19, 2019
Moreover, some exchanges even cancel private currencies because they do not comply with the Financial Action Task Force’s [FATF] travel rules. However, Poloniex lists prominent privacy coins alongside Grin based on MimbleWimble. The listing of Grin will remove some of the FUDs around MimbleWimble on Litecoin, as the community is concerned about the cancellation of altcoins from major exchanges after MW.
Poloniex allows no KYC accounts
One of the most popular cryptocurrency exchanges, Poloniex, has made an official announcement that they are introducing not to register for a KYC account.
According to the documentation, this is something that many exchange users have requested. Users have been able to take advantage of new features. They can start trading with just an email address and password.
However, it is worth noting that this is applicable to all account levels on the platform. Those who wish to register without disclosing their personal information will be subject to certain restrictions, as they may only open a first-level account.
Although they have access to unlimited transactions and deposits, users will only be able to withdraw $ 10,000 per day. If they want to withdraw more than that, they must register for a higher level account, request verification of personal information.
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