Right after user creates an account, he won’t be able to make a deal or a transaction until he become a verified client. To become a verified user, it is necessary to provide us with a copy of your personal documents. Documents will be personally verified by entrusted employees of the stock exchange BitStock.
What documents are needed?
In order to make a client verification, we have to authenticate bank account, personal data and permanent address of the user.
For verification of a bank account is necessary to send a copy or a screenshot of an account statement, important are personal data about a bank account owner – balances and movements of the bank account can be blackened.
Verification of personal data and permanent address is performed by verifying proof of identity (ID or passport) and by another document issued by the state authority (driving license or birth certificate).
If documents do not contain address it is needful to upload certificate issued by a state authority which contain your name and permanent address (e.g. listing from Czech Social Security Administration – OSSZ, a letter from the tax office, etc.). It is not acceptable to proof client’s address with invoice for gas, electricity or any other invoice or bill.
Copies of documents must be uploaded in an appropriate quality to be easily readable and Client can be identified. Documents must be valid.
To identify legal persons, we require the same documents from individuals who act as a legal entity. In a case of any doubt we reserve a right to make further checks.
How does identity verification work?
Client applies for identity verification in an account administration in a section „Verification“. In the section is a field for uploading a copy of the document (ID or passport). Client verification is done manually, after verification of provided data and check whether documents are readable, Client is considered as a verified client. Thereafter Client can freely trade and make transaction at BitStock exchange. Client will be informed about results of verification via email. If there were deposits of funds which crediting to account have been delayed, the funds will be automatically credited to the client’s account.
For client’s bank accounts apply following rules:
- Client can use only that bank account which is registered at BitStock exchange. Deposit of funds from non-registered bank account won’t be credited to client’s account at BitStock exchange as deposits are made without variable symbol and system won’t be able to match transaction with Client.
- Name of client’s account must contain first name and surname of Client as it is stated in the bank account. In a case of legal entity an account name must contain its name.
- At first deposit of funds from a new account the transfer must contain a message for recipient: I buy bitcoin at bitstock.
How do we ensure a protection of entrusted documents?
After uploading of a copy of your personal documents, documents will be immediately encrypted and safely stored.
We are duly registered with the Office for Personal Data Protection under registration number 00051458 (for more info click here).
We are therefore obliged by law (Act No. 101/2000 Coll., Personal data protection) to protect entrusted documents against theft and unauthorized access.
Why is the verifying procedure necessary?
Verification of the client’s identity including statement whether Client is or is not politically exposed person (PEP), is required by law 253/2008 Sb. “about certain measures against the legalization of proceeds from crime and terrorist financing” (for more info click here).
Stock exchange Provider is the liable entity by the law mentioned above. Digital currencies are popular for legalization of earnings from criminal activity and are easy to exploit. Due to these reasons stock exchange Provider is liable to abide all the provisions of the Act and follow up the Act. Client’s verification means for stock exchange Provider that he is able based on request of the competent authorities prove client’s identity.
Currently, if someone is selling or allows sale of bitcoins to another party without having sufficient identity verification, then the person is exposing himself to a risk of being misused as an intermediary for transferring of earnings from criminal activity to bitcoins which can result in blocking bank account and investigation by the police.
Verification of Client as a legal entity
Client makes registration on behalf of legal entity. Registration can be done only by person who is authorized to act in the name of the entity. Subsequently, registration of authorized person will be done as for individuals according the article above.