{"id":29518,"date":"2020-10-02T11:40:54","date_gmt":"2020-10-02T08:40:54","guid":{"rendered":"https:\/\/forklog.com\/en\/?p=29518"},"modified":"2025-08-27T17:28:29","modified_gmt":"2025-08-27T14:28:29","slug":"ciphertrace-56-of-bitcoin-exchanges-do-not-verify-customers","status":"publish","type":"post","link":"https:\/\/u1f987.com\/en\/ciphertrace-56-of-bitcoin-exchanges-do-not-verify-customers\/","title":{"rendered":"CipherTrace: 56% of Bitcoin exchanges do not verify customers"},"content":{"rendered":"<p>More than half of the 800 cryptocurrency exchanges across 80 countries do not comply with KYC\/AML measures. This was reported by analytics firm CipherTrace.<!--more--><\/p>\n<blockquote class=\\\"twitter-tweet\\\">\n<p dir=\\\"ltr\\\" lang=\\\"en\\\">Now available! Our 2020 Geographic Risk Report: VASP KYC by Jurisdiction is the virtual asset industry\u2019s first comprehensive global KYC risk assessment. <a href=\\\"https:\/\/t.co\/fD1RJr5zNu\\\">https:\/\/t.co\/fD1RJr5zNu<\/a> <a href=\\\"https:\/\/twitter.com\/hashtag\/KYC?src=hash&#038;ref_src=twsrc%5Etfw\\\">#KYC<\/a> <a href=\\\"https:\/\/twitter.com\/hashtag\/AML?src=hash&#038;ref_src=twsrc%5Etfw\\\">#AML<\/a> <a href=\\\"https:\/\/twitter.com\/hashtag\/CTF?src=hash&#038;ref_src=twsrc%5Etfw\\\">#CTF<\/a> <a href=\\\"https:\/\/twitter.com\/hashtag\/DeFi?src=hash&#038;ref_src=twsrc%5Etfw\\\">#DeFi<\/a> <a href=\\\"https:\/\/twitter.com\/hashtag\/bicoin?src=hash&#038;ref_src=twsrc%5Etfw\\\">#bicoin<\/a> <a href=\\\"https:\/\/twitter.com\/hashtag\/cryptocurrency?src=hash&#038;ref_src=twsrc%5Etfw\\\">#cryptocurrency<\/a><\/p>\n<p>\u2014 CipherTrace (@ciphertrace) <a href=\\\"https:\/\/twitter.com\/ciphertrace\/status\/1311742929124327428?ref_src=twsrc%5Etfw\\\">October 1, 2020<\/a><\/p>\n<\/blockquote>\n<p><script async src=\\\"https:\/\/platform.twitter.com\/widgets.js\\\" charset=\\\"utf-8\\\"><\/script><\/p>\n<p>According to CipherTrace statistics, 60% of the top-10 exchanges with inadequate KYC are located in Europe, 20% in Latin American and Caribbean countries, and the remaining 20% in the Asia-Pacific region.<\/p>\n<p><img loading=\\\"lazy\\\" decoding=\\\"async\\\" class=\\\"alignnone size-full wp-image-111977\\\" src=\\\"https:\/\/u1f987.com\/wp-content\/uploads\/2020-10-02-10.40.50.jpg\\\" alt=\\\"CipherTrace: 56% of Bitcoin exchanges do not verify customers\\\" width=\\\"1448\\\" height=\\\"962\\\" srcset=\\\"https:\/\/u1f987.com\/wp-content\/uploads\/2020-10-02-10.40.50.jpg 1448w, https:\/\/u1f987.com\/wp-content\/uploads\/2020-10-02-10.40.50-300x199.jpg 300w, https:\/\/u1f987.com\/wp-content\/uploads\/2020-10-02-10.40.50-1024x680.jpg 1024w, https:\/\/u1f987.com\/wp-content\/uploads\/2020-10-02-10.40.50-768x510.jpg 768w\\\" sizes=\\\"auto, (max-width: 1448px) 100vw, 1448px\\\" \/><\/p>\n<p>Europe leads despite the adoption of the Fifth Anti-Money Laundering Directive (AMLD5), according to analysts.<\/p>\n<blockquote class=\\\"wp-embedded-content\\\" data-secret=\\\"WbQoZADYzV\\\">\n<p>A game of cat and mouse with regulators, or what the FATF&#8217;s new guidelines mean for the bitcoin industry<\/p>\n<\/blockquote>\n<p><iframe loading=\\\"lazy\\\" class=\\\"wp-embedded-content\\\" sandbox=\\\"allow-scripts\\\" security=\\\"restricted\\\" style=\\\"position: absolute; visibility: hidden;\\\" title=\\\"\u201cA game of cat and mouse with regulators, or what the FATF's new guidelines mean for the bitcoin industry\u201d \u2014 ForkLog\\\" src=\\\"https:\/\/u1f987.com\/exclusive\/igra-v-koshki-myshki-s-regulyatorami-ili-chto-oznachayut-novye-rekomendatsii-fatf-dlya-bitkoin-industrii\/embed#?secret=lDhXs4iL3p#?secret=WbQoZADYzV\\\" data-secret=\\\"WbQoZADYzV\\\" width=\\\"500\\\" height=\\\"282\\\" frameborder=\\\"0\\\" marginwidth=\\\"0\\\" marginheight=\\\"0\\\" scrolling=\\\"no\\\"><\/iframe><\/p>\n<p>In Africa, 70% of trading platforms do not comply with KYC norms, with most of them based in the Seychelles, potentially making that country attractive for money laundering.<\/p>\n<p>Among decentralized exchanges, more than 90% have inadequate KYC measures, and for 81% they are virtually absent.<\/p>\n<p>Across countries, the worst is in the United States, Singapore and the United Kingdom, where a larger number of platforms are concentrated.<\/p>\n<p><img loading=\\\"lazy\\\" decoding=\\\"async\\\" class=\\\"alignnone size-full wp-image-111978\\\" src=\\\"https:\/\/u1f987.com\/wp-content\/uploads\/2020-10-02-10.40.57.jpg\\\" alt=\\\"CipherTrace: 56% of Bitcoin exchanges do not verify customers\\\" width=\\\"1442\\\" height=\\\"878\\\" srcset=\\\"https:\/\/u1f987.com\/wp-content\/uploads\/2020-10-02-10.40.57.jpg 1442w, https:\/\/u1f987.com\/wp-content\/uploads\/2020-10-02-10.40.57-300x183.jpg 300w, https:\/\/u1f987.com\/wp-content\/uploads\/2020-10-02-10.40.57-1024x623.jpg 1024w, https:\/\/u1f987.com\/wp-content\/uploads\/2020-10-02-10.40.57-768x468.jpg 768w\\\" sizes=\\\"auto, (max-width: 1442px) 100vw, 1442px\\\" \/><\/p>\n<p>Analysts note that KYC measures are only one factor in assessing the overall risk of bitcoin exchanges, but the report provides a gauge of the potential for cryptocurrency money laundering in each country.<\/p>\n<p>Earlier CipherTrace researchers stated that in 2019 about 74% of bitcoins moved across borders in inter-exchange transactions. They argue this poses money-laundering risk given insufficient KYC\/AML measures and threatens banks.<\/p>\n<p>Subscribe to ForkLog&#8217;s news on Telegram: <a href=\\\"https:\/\/t.me\/forklogfeed\\\" target=\\\"_blank\\\" rel=\\\"nofollow noopener noreferrer\\\">ForkLog Feed<\/a> \u2014 the full news feed, <a href=\\\"https:\/\/telegram.me\/forklog\\\" target=\\\"_blank\\\" rel=\\\"nofollow noopener noreferrer\\\">ForkLog<\/a> \u2014 the most important news and polls.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>More than half of the 800 cryptocurrency exchanges across 80 countries do not comply with KYC\/AML measures. This was reported by analytics firm CipherTrace.<\/p>\n","protected":false},"author":1,"featured_media":29519,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"select":"1","news_style_id":"","cryptorium_level":"","_short_excerpt_text":"","creation_source":"","_metatest_mainpost_news_update":false,"footnotes":""},"categories":[3],"tags":[1292,1166,1911],"class_list":["post-29518","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-news-and-analysis","tag-aml-kyc","tag-centralized-exchanges-cex","tag-cipher-trace"],"aioseo_notices":[],"amp_enabled":true,"views":"11","promo_type":"1","layout_type":"","short_excerpt":"","is_update":"","_links":{"self":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/29518","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/comments?post=29518"}],"version-history":[{"count":1,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/29518\/revisions"}],"predecessor-version":[{"id":29520,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/posts\/29518\/revisions\/29520"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media\/29519"}],"wp:attachment":[{"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/media?parent=29518"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/categories?post=29518"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/u1f987.com\/en\/wp-json\/wp\/v2\/tags?post=29518"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}