MyEtherWallet is a platform that offers users a user-friendly way of dealing with Ethereum balances, ERC20 tokens, and the option to swap between supported currencies and tokens. The platform offers quite a bit of functionality for users to benefit from, although the team has been looking for ways to attract even more users in the future.
For the MyEtherWallet team, that feature comes via the introduction of crypto to fiat conversions. Users need not go through a KYC verification but there will be some limitations in place. For example, they will not be able to convert more than CHF 5,000 as of now.
MyEtherWallet is working with Bity to provide this functionality. Bity is Swiss brokerage firm that provides crypto services to it clients. Their focus is primarily on crypto ATMs, but their integration with MyEtherWallet would bring their crypto-fiat gateway to anyone in the world. What this means is that users will not need to access one of the company’s ATMs to obtain their cash.
Some people have doubts about how these companies can provide such a service without KYC verification, especially in Europe where companies are forced to verify the identities of all their users these days. Bity uses the “proof-of-wallet ownership” to remain compliant with Switzerland’s AMLA.
Users will have to go through a minor bit of verification though. They will have to confirm that they have a phone number. All that Bity would need is the bank details of customers, which won’t be stored by the MyEtherWallet team. This would prove to be quite valuable to a lot of users. What’s left to wonder is whether these limits will be lifted at some point in the future. This limit appears to be applicable to individual transactions, rather than a “hard cap” per account.
As of today, MyEtherWallet is facilitating Bitcoin and Ethereum conversions from Euros to Swiss Francs and vice versa.
KYC or “Know Your Customer” is a process that help institutions verify the identities of their clients. It is a legal and regulatory requirement that has to be fulfilled by banks and financial institutions for new and existing clients. A typical KYC check includes acquiring a user’s personal information and related proofs, background checks and ongoing changes.
The function of removing KYC in crypto-to-fiat conversions is a remarkable development for the crypto industry as a whole, as a lot of cryptocurrency users look for ways to bypass KYC requirements when converting Bitcoins and altcoins.
Article sourced from The Merkle.