Poloniex exchange announced that all new users can sign up on the platform and begin trading using just an email address and password in level 1 account. The exchange will also unfreeze and upgrade existing unverified accounts to level 1 over the next few months.
Level 1 account allows unlimited deposits with $10,000 withdrawals per day.
Justin Sun, who recently revealed that he is one of the major stakeholders in the exchange tweeted, “How fast can you get a Poloniex account? 20 seconds?” According to the exchange, Level 1 accounts will give access to unlimited trading, unlimited deposits, and $10,000 per day in withdrawals. However, level 2 accounts would require identity verification.
— Justin Sun (@justinsuntron) December 19, 2019
Poloniex might face regulatory troubles.
The decision to exclude KYC registration might not sit well with regulators around the world. Earlier, three crypto-related businesses decided to shut down because of upcoming EU regulations that make it compulsory for them to identify their customers via KYC. The FATF guidelines also require exchanges to collect information about their customers before providing any services. Regulators all around the world are pushing towards greater surveillance on crypto exchanges.