Data Protection and Security on Young Platform
For us at Young, the safety of our users comes first. We use the Identity Verification (KYC) procedure and Anti Money Laundering (AML).
When you buy and sell cryptocurrencies, you should operate on certified, reliable and compliant platforms. This is to protect your funds from potential fraud, criminals who try to create fake accounts to launder money or criminals who want to hack the system. The first form of security that an exchange platform must put in place to defend its users from these potential dangers is the Identity Verification (KYC) procedure.
Many are asking us what exactly the Identity Verification (KYC) procedure is and why it’s important, so we thought we’d prepare an article with everything there is to know about your security when you operate on the Young Platform exchange.
What is KYC?
The Know Your Customer procedure, better known as KYC, is nothing more than the identification process used by banks, financial intermediaries and even cryptocurrency exchanges to certify that a user is a real, natural person.
Cryptocurrency exchanges are considered by European legislation as real financial operators, so they are required to comply with the same rules as a bank. The procedure only takes a few minutes. The user must provide his or her ID, a photo of his or her face and indicate where he or she is domiciled and resident.
Our partner provider Onfido matches the user’s selfie with the photo on the ID and verifies that it is the same person. Simultaneously, it is able to report if the person has a serious criminal record, if he is a politically exposed person, a terrorist or subject to serious sanctions.
All potentially dangerous individuals are blocked and cannot create their account. This guarantees the Young Platform community, as well as the community of all exchanges that comply with European regulations, to work together with real, natural persons with no criminal record. Checks are performed periodically for the same purpose.
So to sum up, the main objective of KYC is to verify the identity of the user, with the dual purpose of protecting the user and the company from attempts at corruption, online fraud and money laundering practices.
How is my personal data used?
In particular, online platforms for financial activities such as the exchange Young Platform are designed from the very beginning with data protection in mind. This means that, by definition, the entire investment process on a regulated exchange is transparent, traceable and explicit.
The user’s personal data is stored and processed by Young Platform in this way and for these purposes:
- Without being sold to third parties.
- To allow customers and potential customers to access and use Young’s products and services.
- To counter eventual cyberattacks and illegal activities such as abuse and misuse and to administer and update databases containing the user’s personal data.
- To understand the feedback received on Young’s products and services and to provide additional information to customers and prospective customers on the use of these customized products and services in a quick and easy way.
What is AML or Anti-Money Laundering?
AML (Anti Money Laundering) refers to the preventive action and the campaign against money laundering. Money laundering and terrorist financing are criminal phenomena which, because of their global extent, pose a threat to the real economy and have serious destabilising effects on the banking and financial system.
In light of the dangerous nature of these phenomena, Young responds by setting up the Anti-Money Laundering Function, designed to prevent and tackle money laundering operations, by working with institutions and professionals.
Young’s Anti-Money Laundering Function complies with the 5th AML Directive issued by the European Union.
Young is also committed to raising awareness on the prevention and mitigation of money laundering and terrorist financing.