Role verification – providing the balance for investors and project teams
KYC verification is an absolute must for investors considering projects operating within the spectrum of DeFi.
The figures attached to crypto trading are constantly growing. According to CoinGecko, the total crypto market grew over 600% from $397 billion as of November 2020, to $2.8 trillion by November 2021. Controversy grows at the same rate with fraud, rug pulls and deceptive crimes all adding to the melting pot. It is estimated in that same time period, over 1.6 billion dollars’ worth of crypto was used to commit cybercrimes.
The result is whilst DeFi growth continues, people are starting to approach it with increasing scepticism. There is also the hesitation about incoming enforcement of cryptocurrency regulations and what will happen to formalize this market.
So what should DeFi projects do to attract the best investors?
Role Verification
Back in the old days, when we carried wallets with actual cash in them (remember that?) investors would want to know who held the keys to the safe. It’s essentially the same today – if we strip everything back, it is vital to be able to identify who carries the responsibility for treasury, liquidity and code.
Having the ability to remain publicly anonymous and still offer this level of assurance to potential investors IS the difference between gaining serious investment and stalling at the level that still views rug pulls as part of the risk.
Risk assessment
KYC processes and effective ID verification of users enables investors (or in other words, customers!) to evaluate the risk level for each project and recognize potential opportunities more effectively. Any serious investor wants to know that information is there to help, should the worst happen.
Lowering risk of fraud
Identifying team roles is one of the most important parts of delivering security to any project. Recognizing risks and threats early and implementing procedures in order to seek recovery from accountable team members massively increases a project’s overall desirability.
So isn’t that loaded on the side of investor, whilst the project is Assure’s customer?
Chapo says “We get this question a lot. In some ways its true – the project takes on spend, goes through the verification process, commits to being accountable… and it means the investor gets more protection. But think of it this way: soon, you won’t get investment without legitimate KYC and role verification.
People need to know who’s holding the keys; but your project team’s identity is secure and anonymous, as long as you plan to act legitimately. That doesn’t mean ‘ensure your project is a success or we’ll publicly dox you’, that means ‘if you plan on committing a crime don’t KYC through Assure as we will actively participate in passing your verified details to law enforcement’. Our biggest value add for project teams is the Assure DeFi reputation as #1 provider of authentic and accountable KYC for investors.”
The KYC ASSURED✨✅™️ process is designed to ensure projects are guided through every step of the thorough KYC procedure – making it easy, seamless and safe; and also providing marketable assets ranging from a minted verified badge to social media content. For a more in-depth dive into the Assure DeFi verification process click here: Our verification process
Talk to us today to verify your project the right way.