KYC (Know Your Customer)

KYC identifies the customer and verifies that identity using reliable information or documentation. It forms part of anti-money-laundering due diligence and can include identifying beneficial owners, understanding the relationship and ongoing monitoring. Scope depends on activity, jurisdiction and risk.

KYC does not always require a selfie or biometrics. Permitted methods and enhanced checks depend on legislation and the delivery channel. Identity verification should be distinguished from sanctions screening, assessing the source of funds and reporting suspicious transactions.

For permissioned tokens, an on-chain registry can record that a provider performed a check or issued an attestation. The contract consults that status; it does not verify documents itself or replace data updates, personal-data protection or the entity’s obligations.