The Indian crypto exchanges are planning to bring a new rule to prohibit potential money laundering activities via new security checks.
In the present time, crypto companies are operating their business in India under the gray region. The majority of local companies are following traditional financial rules to comply with the regulation system. In the absence of rules, it is easy for bad actors to misuse the cryptocurrencies for their illegal activities.
Recently media reports confirmed that all the Indian crypto exchanges are going to bring a new KYC FaceID system to their platform.
The new security check will force the platform users to provide proper detail of the third-party crypto addresses, to get third party crypto wallet withdrawal.
In short, Indian exchanges will first collect all the details of the third-party crypto wallet address, before withdrawal so that no one can anonymously misuse the crypto funds.
Here it is worth it to note that the latest order is not a part of any government regulatory body’s order. Indeed crypto exchanges are trying to regulate themselves, to remain ready to comply with future rules & regulations.
In the present time, all the South Korean crypto exchanges allow third-party crypto address transactions on behalf of the verification. A crypto Investor can easily integrate his crypto wallet details into crypto exchanges and that crypto wallet may belong to the other crypto exchanges/platforms/self custody wallets.
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