As per the recent development, Bybit has planned to introduce mandatory Know Your Customer (KYC) for all the products and services it offers. Similarly, Bybit has issued a tentative date of May 8 for the introduction of these KYC. A recent update by Bybit specifies that users who fail to register KYC before May 8 would be limited to closing existing open positions and orders, returning loans, and withdrawing. In addition, any new trading activity would also be restricted.
Before the new update, non-KYC users had a daily withdrawal limit of approximately 20,000 USDT and a monthly withdrawal of 100,000 USDT. The users who succeed in the completion of level one KYC on Bybit might have a withdrawal limit ranging from almost 1 million USDT and a whoppin12 million USDT, depending on the overall level of their VIP status.
Analysts believe that the firm took such measures in an effort to opt for complete regulatory compliance. The statement can also be backed up by the rapidly increasing product offering, and compliance has become necessary to stay in the law’s good books.
Bybit KYC Requirements, a Necessary Defense Against Regulation?
The firm has laid a foundation of a shield that would protect it from regulatory actions in the future. Bybit’s new KYC push would offer it a greater competitive edge along with the opportunity of exploring additional markets. Bybit will accept utility bills, official bank statements, residential proof issued by the government, phone line bills, tax returns, council tax bills, or Government-issued certificates of residence as proof of address.
With the introduction of mandatory KYCs, Bybit said that one of its main aims is safeguarding the personal information of its users, and encrypting them for increased privacy and security. The information would solely be used for identification purposes to serve users in a better way. Furthermore, this information would not be repurposed or used for other activities such as marketing.
“Bybit ensures that your personal information will be encrypted and protected for privacy and security, and will be used for the sole purpose of verifying your identity to better serve you.”
The firm revealed that its new KYC measures would take anywhere between 15 minutes to 48 hours for seamless implementation. In supporting the decision, Bybit mentioned the need of having increased levels of security and compliance, prevention of illegal activities, and providing greater convenience in cases of lost credentials.