KYC and its importance

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KYC stands for Know Your Customer and is a process of verifying the identity of clients to prevent fraud and money laundering.

KYC is important for financial institutions to comply with regulations and prevent illegal activities.
It involves collecting and verifying personal information such as name, address, and identification documents.
KYC helps to establish a customer's risk profile and enables institutions to monitor transactions for suspicious activity.
Examples of KYC measures include identity verification, risk assessment, and ongoing monitoring of customer activity.
Failure to comply with KYC regulations can result in hefty fines and damage to a company's reputation.

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