The creators of mobile-based cryptocurrency Electroneum (ETN) announced today that theirs will be the first fully Know Your Customer (KYC) consistent cryptocurrency in the world.
Electronuem’s business strategy has served them well in the post, enabling them to take advantage of a market of millions in underdeveloped nations by going entirely cell phone based. The company states on its website that their goal is to connect underserved populations who don’t have access to banks with a means of cash.
There are around 350 million smartphone users in the world, speaking to a massive market that the organization claims on its website will empower a 3 trillion dollar marketplace.
— electroneum (@electroneum) October 4, 2018
The makers of Electroneum have partnered with London-based app maker Yoti’s digital identity authentication tool to carry out their venture into full KYC compliance.
What Is KYC?
KYC is especially important in the crypto world to combat claims of lax security and user anonymity connected with digital currencies. Individuals need to know who they’re sending their money to, and it’s being utilized for the intended purpose.
As indicated by the publication FinTech Finance, Yoti will partner with Electroneum’s developers to make an application based KYC protocol users can follow when sending or receiving ETN from their mobile wallets. Richard Ells, founder and CEO of Electroneum, said in an interview that:
“This will help us evolve from a cryptocurrency into a recognized means of digital payment like PayPal or Apple Pay, which will enable us to help our core market: smartphone users in developing and emerging countries.”
Electroneum claims that Yoti’s protocol will give users a chance to confirm their identity in short seconds, much like the partnership Brave Software recently integrated into its program for its publisher service.
As per Tom White of Yoti, clients will just need to make their Yoti profile one time, after which it very well may be utilized to over and again affirm their character “in short order” whenever it’s required.
KYC technology will most likely be on the rise in the cryptocurrency, as both, state and federal regulators increase their efforts to crack down on fraud and shut down the organizations responsible. Security has also been a very tall hurdle to crypto’s mainstream adoption in KYC tech, especially solutions that are fast and easy to use, could jump.
ETN users are required to be compliant by November 12, 2018, however, voluntary registration is available now.