ICO Platform Governance

As cryptocurrencies become more prevalent, KYC will increasingly become a must have solution for banks, exchanges and companies dealing with digital assets. Know Your Customer (KYC) protects both the institutions and the individuals from investment fraud, and at the same time ensure the source of money being transferred is legitimate. This is done by verifying each buyer's identity and location.

For companies planning their own Initial Coin Offerings (ICOs) KYC takes on a whole new meaning since the investors may be distributed all across the globe. KYC is an easy process and can be summed up as:
1. Registration an ERC20 compliant Ethereum wallet
2. Identity verification with a Govt. issued document such as a driver's license or passport
3. Residency verification

However, since the genesis of cryptocurrencies lies in the anonymity of transactions, this can quickly become a quagmire of legal battles. At Proteum, we work with companies to educate them on the various elements of implementing a strong and thorough KYC, AMl and Privacy Policy.

With European regulations calling for GDPR (General Data Protection Regulation), it will be necessary for companies to comply with the policies of the markets that they operate in.
  • A. KYC and AML (anti-money laundering) policies they need to incorporate into their operating charters.
  • B. Developing a legally compliant-plan to train employees in the administration and enforcement of these KYC/AML policies
  • C. Provide annual updates an guidance to comply with anti-money laundering laws and ensure that these policies are always up to date
  • D. Craft a sound company policy covering your token purchaser’s information, privacy, and data access and exposure
  • E. Plan for the expansion of your privacy policy once your blockchain platform has launched