Know your customer (KYC), is a process of an identification of clients’ identity done by a business. The main goal of KYC is to evaluate potential risks of illegal intentions for business relationships with the clients.
Block Stocks is the platform connecting two types of clients: Investors (natural persons) and Startups and SMEs (incorporated companies). Since their legal status is different, we will introduce separate KYC processes for both customer types.
Block Stocks process of Investors’ KYC:
Block Stocks process of Startups and SMEs’ KYC:
The main objective of the Know your customer process is to identify theft, prevent terrorist financing, money laundering and financial fraud. Our process will prevent Block Stocks from being used, intentionally or unintentionally, for money laundering activities.
Secondly, thanks to KYC, Block Stocks would also get a better understanding of its customers – Investors, Startups & SMEs – to provide tailored services and manage risk in a prudent manner.
KYC is a standard global practice in the financial industry. It’s required by the regulators with a goal to protect all stakeholders within the ecosystem. Thanks to an effective KYC process, the financial risk of business arrangements between Investors and Startups and SMEs in Block Stocks is significantly reduced.
You want to know more about “know your customer”? Then you will find more information here.