This document outlines the ThriveCoin compliance policy.
What is KYC?
KYC stands for ‘Know Your Customer,’ and it is a set of regulated standards used to verify identity in order to prevent criminal activity and fraud. ThriveCoin complies with these standards in order to abide by applicable laws, rules and regulation, but also for ThriveCoin be a responsible partner in the web3 ecosystem by ensuring it knows to whom funds are going to.
Scope of compliance checks:
Below is a list of payments that are subject to a compliance check:
Grantees receiving payments (e.g., Gitcoin grant round recipients)
ThriveCoin contributors (e.g., GovMonth Season 1)
ThriveCoin sweepstakes winners (e.g., GovMonth Snapshot sweepstakes)
Program managers (e.g., zer8)
Retroactive funding recipients (e.g., _____ )
DAO service providers (e.g., Tnorm, Evan Powell)
Scope of funding sources:
This process has been designed to accommodate the following flow of funds:
Funds distributed from the community multi-sig to a end-point recipients
Funds distributed from the community multi-sig to smart contracts
This process has not been designed to accommodate the flow of funds:
From the community multisig to non-ThriveCoin partners (Gitcoin, claim contracts)
Sources of funds not linked to a community multi-sig
Definitions:
KYC: Know your customer
KYC stands for "Know Your Customer" or "Know Your Client." It is a process that used to verify the identity of their customers or clients to prevent fraud, money laundering, and other illicit activities. KYC procedures typically involve collecting and verifying personal and financial information from customers and official identification documents (e.g., passport, driver's license). This information is used to establish the identity of the customer and assess the level of risk associated with their financial transactions.
KYB: Know your business
KYB stands for "Know Your Business." Like KYC, it is a due diligence process used to verify and understand the identities of their corporate customers or business partners. KYB is similar in principle to the KYC process but focuses on gathering and verifying information about businesses, their ownership structures, and their business activities. Key aspects of KYB typically include: Business registration information, ownership and control, business activities and may include a risk assessment.
KYT: Know your transaction
"KYT" is defined as "Know Your Transaction." KYT is a relatively newer concept but it focuses on monitoring and understanding individual financial transactions, particularly in the realm of anti-money laundering (AML) and counter-terrorism financing (CTF) efforts. Key aspects of KYT include transaction monitoring, risk assessment, and reporting and compliance.
Thresholds for compliance checks:
Any relevant payments equal to or greater than the thresholds listed below are subject to the relevant compliance check
KYT: $300 USD or equivalent
KYC: $10,000 USD or equivalent
KYB: $10,000 USD or equivalent
How are compliance checks completed?
KYT:
ThriveCoin uses __ as a partner to execute a KYT check. Checks are completed on wallet addresses and no additional information is required from the user.
KYC/KYB:
ThriveCoin uses __ as a partner to execute KYB / KYC. Individuals should be prepared to provide the following information:
Copy of government issued identification
Selfie (i.e., real time photo administered by a third party application)
Proof of physical address (e.g., a utility bill, water bill, landline phone bill, electricity bill, internet bill, gas bill, or bank statement)
For corporations:
Corporation Legal Name
Physical Address
Proof of physical address (e.g., utility bill, or bank statement)
Proof of Incorporation
If I’ve done a compliance check in the past, do I need to do it again?
Yes, ThriveCoin does periodic rechecks for compliance.
How long will it take for KYC/KYB?
It typically takes 2-5 business days to verify you met the requirements for the KYC process. KYB can take 1-2 weeks. Once you’ve met the KYC requirements, you will receive a notification to claim your funds.
Will my information be kept private?
Yes, when fulfilling requirements, your information will be entered into a third party software tool used to verify. This information is not available to ThriveCoin, we only receive notification that the check was successful or not.
What if the check fails?
ThriveCoin will work in good faith with the recipient and the service provider to resolve the issue.
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Copy of Thrivecoin Compliance Doc
Compliance policy (DRAFT)
This document outlines the ThriveCoin compliance policy.
What is KYC? KYC stands for ‘Know Your Customer,’ and it is a set of regulated standards used to verify identity in order to prevent criminal activity and fraud. ThriveCoin complies with these standards in order to abide by applicable laws, rules and regulation, but also for ThriveCoin be a responsible partner in the web3 ecosystem by ensuring it knows to whom funds are going to.
Scope of compliance checks: Below is a list of payments that are subject to a compliance check:
Grantees receiving payments (e.g., Gitcoin grant round recipients) ThriveCoin contributors (e.g., GovMonth Season 1) ThriveCoin sweepstakes winners (e.g., GovMonth Snapshot sweepstakes) Program managers (e.g., zer8) Retroactive funding recipients (e.g., _____ ) DAO service providers (e.g., Tnorm, Evan Powell)
Scope of funding sources: This process has been designed to accommodate the following flow of funds: Funds distributed from the community multi-sig to a end-point recipients Funds distributed from the community multi-sig to smart contracts
This process has not been designed to accommodate the flow of funds: From the community multisig to non-ThriveCoin partners (Gitcoin, claim contracts) Sources of funds not linked to a community multi-sig
Definitions: KYC: Know your customer KYC stands for "Know Your Customer" or "Know Your Client." It is a process that used to verify the identity of their customers or clients to prevent fraud, money laundering, and other illicit activities. KYC procedures typically involve collecting and verifying personal and financial information from customers and official identification documents (e.g., passport, driver's license). This information is used to establish the identity of the customer and assess the level of risk associated with their financial transactions.
KYB: Know your business KYB stands for "Know Your Business." Like KYC, it is a due diligence process used to verify and understand the identities of their corporate customers or business partners. KYB is similar in principle to the KYC process but focuses on gathering and verifying information about businesses, their ownership structures, and their business activities. Key aspects of KYB typically include: Business registration information, ownership and control, business activities and may include a risk assessment.
KYT: Know your transaction "KYT" is defined as "Know Your Transaction." KYT is a relatively newer concept but it focuses on monitoring and understanding individual financial transactions, particularly in the realm of anti-money laundering (AML) and counter-terrorism financing (CTF) efforts. Key aspects of KYT include transaction monitoring, risk assessment, and reporting and compliance.
Thresholds for compliance checks: Any relevant payments equal to or greater than the thresholds listed below are subject to the relevant compliance check KYT: $300 USD or equivalent KYC: $10,000 USD or equivalent KYB: $10,000 USD or equivalent
How are compliance checks completed? KYT: ThriveCoin uses __ as a partner to execute a KYT check. Checks are completed on wallet addresses and no additional information is required from the user.
KYC/KYB: ThriveCoin uses __ as a partner to execute KYB / KYC. Individuals should be prepared to provide the following information: Copy of government issued identification Selfie (i.e., real time photo administered by a third party application) Proof of physical address (e.g., a utility bill, water bill, landline phone bill, electricity bill, internet bill, gas bill, or bank statement)
For corporations: Corporation Legal Name Physical Address Proof of physical address (e.g., utility bill, or bank statement) Proof of Incorporation
If I’ve done a compliance check in the past, do I need to do it again? Yes, ThriveCoin does periodic rechecks for compliance.
How long will it take for KYC/KYB? It typically takes 2-5 business days to verify you met the requirements for the KYC process. KYB can take 1-2 weeks. Once you’ve met the KYC requirements, you will receive a notification to claim your funds.
Will my information be kept private? Yes, when fulfilling requirements, your information will be entered into a third party software tool used to verify. This information is not available to ThriveCoin, we only receive notification that the check was successful or not.
What if the check fails? ThriveCoin will work in good faith with the recipient and the service provider to resolve the issue.
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PL Grantee Compliance process (link)