KYC stands for Know Your Customer, and it refers to the process of verifying the identity of individuals who wish to use financial services, including those related to cryptocurrency. In the context of crypto, KYC is typically required by exchanges, wallets, and other service providers as part of their compliance obligations. The purpose of KYC is to prevent fraud, money laundering, and other illegal activities by verifying the identity and personal information of users. KYC involves collecting various forms of identification and other documentation from users, including passports, driver's licenses, and utility bills. Once verified, users can access the platform's services, such as buying, selling, or trading cryptocurrencies, with increased security and confidence.

KYC, or Know Your Customer, is a process that financial institutions and businesses use to verify the identity of their clients. The goal is to ensure that customers are who they claim to be and to assess any potential risks of illegal activities, such as money laundering or fraud.

KYC typically involves collecting and verifying key information, including personal identification (like passports or driver's licenses), proof of address, and financial details. Banks, investment firms, and other regulated entities must comply with KYC regulations as part of anti-money laundering (AML) laws. KYC helps promote transparency, protects against fraud, and strengthens trust in financial systems by reducing the risk of financial crimes, making it a cornerstone of modern financial compliance.