Understanding the Know Your Customer (KYC) Process

The Know Your Customer (KYC) process helps Lock Trust verify the identity of merchants to comply with legal regulations and prevent fraud, money laundering, and other illicit activities. This guide explains what KYC is, why it’s required, and what you need to provide.

What is KYC?

• A regulatory process to verify the identity of customers and merchants.
• Ensures businesses are legitimate and comply with financial laws.
• Helps protect the payment ecosystem and reduce fraud risk.

KYC Requirements

To complete KYC, you’ll typically need to provide:

• Personal Identification: Government-issued ID (driver’s license, passport)
• Business Documentation:
  • Business license or registration
  • Tax Identification Number (TIN) or Employer Identification Number (EIN)
  • Proof of business address (utility bill, lease agreement)
• Ownership Information: Names and identification of owners or beneficial stakeholders

KYC Verification Timeline

• Verification usually takes 1–3 business days after document submission.
• You may be contacted for additional information or clarification.

Tips for a Smooth KYC Process

• Provide clear, legible copies of documents.
• Ensure all business information matches official records.
• Respond promptly to any requests for additional information.

Why KYC Matters

• Compliance with anti-money laundering (AML) laws
• Helps maintain trust and security in the payment network
• Prevents account freezes or delays in payouts