OKX, a cryptocurrency change, is below scrutiny as experiences recommend it is perhaps accepting faux IDs for its Know-Your-Buyer (KYC) verification course of.
Journalists from 404 Media have uncovered that OKX seems to be potentially failing to detect false data throughout person registration, permitting accounts with fabricated IDs to move KYC checks. The investigation signifies that an online service, claiming to make use of “neural networks” to create life like faux IDs for $15, helped efficiently full the identification verification course of on OKX.
In keeping with the report, journalists examined OKX’s verification course of utilizing a faux British passport generated by the net service, revealing vulnerabilities in OKX’s KYC/AML (Anti-Cash Laundering) techniques. Whereas OKX’s verification companion, Jumio, highlighted its sturdy verification course of to determine faux profiles, it avoided commenting on OKX’s particular procedures when confronted with allegations of accepting faux IDs.
A consultant from OKX’s buyer help, speaking to Protos, disclosed that actual KYC/AML procedures may not be carried out throughout account creation or depositing crypto. OKX seems to be checking KYC/AML when a person “is making an attempt to take cash off of the OKX platform,” the consultant stated.
As of press time, OKX made no public statements on the matter.
Nonetheless, OKX seems to be not the one crypto change which seemingly accepts faux paperwork for passing KYC. In Could 2023, blockchain analyst ZachXBT uncovered that crypto change Gate.io verified an account below the title of North Korean politician “Kim Jong-Un” utilizing the e-mail “notlazarus,” underscoring rising issues in regards to the effectiveness of KYC procedures throughout crypto exchanges.