Last updated: May 7, 2017
Know Your Customer (KYC)/ Customer Due Diligence (CDD) is the method of due diligence that financial institutions perform to identify their customers and ascertain relevant information required for doing business with them. KYC involves seeking evidence of identity and address from the customer and independently confirming that evidence at the start of a relationship with the firm.
SpicePay’s identity verification procedure requires the user to provide SpicePay with reliable, independent source documents, data or information (e.g., national ID, international passport, bank statement, utility bill, tax documents). For such purposes SpicePay reserves the right to collect user’s identification information for the AML/KYC Policy purposes.
SpicePay will take steps to confirm the authenticity of documents and information provided by the users. All legal methods for double-checking identification information will be used and SpicePay reserves the right to investigate certain users who have been determined to be risky or suspicious.
SpicePay reserves the right to verify user’s identity in an on-going basis, especially when their identification information has been changed or their activity seemed to be suspicious (unusual for the particular User). In addition, SpicePay reserves the right to request up-to-date documents from the users, even though they have passed identity verification in the past.
Once the user’s identity has been verified, SpicePay is able to remove itself from potential legal liability in a situation where its Services are used to conduct illegal activity.
Money laundering is defined as any process involving the concealment of the origins of illegally obtained money, typically by means of transfers involving foreign banks or legitimate businesses. Criminals specifically target financial services firms through which they attempt to launder criminal proceeds without the firm’s knowledge or suspicions.
The SpicePay cryptocurrency payment processing platform allows merchants to accepts payments for goods and services in cryptocurrency. In response to the threat of money laundering activity being conducted taking advantage of certain cryptocurrency features , SpicePay has adopted an anti-money laundering policy which is followed by all of its employees, officers and affiliates.
Our AML Policy sets out minimum standards of compliance and establishes a Risk Based Approach (RBA) towards assessing and managing the money laundering and terrorist financing risks to the company. These include:
- Verifying customer identification using a multi-level system.
- Filing reports as required by local regulations
- Responding to law enforcement requests
- Determining and obtaining necessary Licensing in countries of operation
- Compliance with local regulatory requirements
- Employee and Compliance Officer training
- Ongoing transaction monitoring
SpicePay also prohibits transactions with individuals, companies and countries that are on prescribed Sanctions lists and therefore screen against UN, EU, UK Treasury and US Office of Foreign Assets Control (OFAC) sanctions lists in all jurisdictions in which we operate and prior to customer verification.
Additionally, in response to the global reach of the IRS through FATCA (Foreign Account Tax Compliance Act) and the uncertainty surrounding the legal repercussions of so accepting, SpicePay regrettably does not accommodate US customers wishing to transact in fiat currencies at this time.
If you’re a resident of one of the following countries, you will be restricted from accessing some of SpicePay services.
- United States of America
- Bosnia and Herzegovina
- Korea, Democratic People’s Republic of
- Lao People’s Democratic Republic
- Sri Lanka
- Syrian Arab Republic
- Trinidad and Tobago