Cryptocurrencies evolved as an extra-state mechanism in a reaction to the centralised nature of fiat currencies. Privacy of users was at the core of this concept. But, with the spread of this sector, know your customer (KYC) verification, which is a norm in the banking world, has become commonplace. This bothers purists who feel that the crypto world should protect its users at all costs and tech enthusiasts who feel that law and technology may not be on the same page in a blockchain-based scenario.
Identity Caught In Chains
Most crypto exchanges in India insist on strict KYC compliance from investors even when the government makes no such demand. This raises the privacy question, which is built into the principle and technology of cryptocurrencies