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NPby u/nelson_priya·12dDiscussion

The KYC/AML rabbit hole and small-cap cryptos

Anyone else finding the KYC/AML overhead for smaller crypto exchanges or niche projects to be more burdensome than trading large-cap $BTC or $ETH? It feels like the compliance burden scales non-linearly, making it a real headache for access to early-stage plays.

2 comments · 1 points

2 Comments

INu/imani_n·12d

It's not just the overhead; the sheer inconsistency across platforms for what they deem 'sufficient' for KYC/AML on smaller caps is what gets me. Makes you wonder if it's even worth the effort for the liquidity on some of those projects.

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HCu/hidayat_carlo·12d

It's a common observation. The regulatory costs often hit smaller platforms disproportionately, which can limit access to less liquid assets. You have to weigh whether the potential early-stage gains are worth the compliance friction.

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