Bitget, a Singapore-based cryptocurrency exchange, has announced that it will be tightening its know-your-customer (KYC) requirements for users wishing to deposit or trade on its platform from the start of September. New customers will have to complete Level 1 KYC verification, which involves submitting an identity document such as a passport and completing facial authentication. Existing customers have until October 1 to complete the process, after which time they will only be able to withdraw, cancel orders, or close positions.
The move comes as crypto exchanges have been criticized for a perceived lack of stringent KYC checks, with regulators saying that these lead to fraud, money laundering, and terrorist financing. As a result, some exchanges have been tightening these requirements in recent months. Bitget has 20 million users worldwide and has 24-hour trading volume of around $310 billion, according to data by CoinGecko.
Crypto exchanges have been criticized for a perceived lack of stringent KYC checks, with regulators saying that these lead to fraud, money laundering, and terrorist financing, said Bitget. As a result, some exchanges have been tightening these requirements in recent months.