KYC verification of t4trade login is required. Releasing the statement about the FATF anti-money laundering recommendations and the compliance demands by 132 jurisdictions of the world, identity authentication must be carried out within 72 hours after the first login. Identity documents issued by governments (such as passports or driving licenses) and residence documents in three months are required by the platform. The passing percentage is approximately 93.7%. The reasons for failures are the most general and main ones. They are uncoherent documents (48% of the failed cases) or vague information (31%). For instance, after implementing AMLD6 regulation by the European Union in 2023, the average duration for which Spanish customers’ t4trade login permission was suspended due to their inability to input IBAN bank account verification was up to 11 days.
The effectiveness of the KYC verification process also varies by user type: It takes 2.3 hours to process individual account review on average, but for enterprise accounts (which require filing the articles of association and the ultimate beneficiary’s equity structure), it takes 48 hours. The platform’s OCR technology has a 99.2% recognition rate for identity documents, but its recognition rate for handwritten documents from some African countries is only 78.5%. Manual checking took 96 hours for a Nigerian trading company to log in to t4trade in time to hedge crude oil futures because the shareholder register seal was too vague. The estimated potential loss is 420,000 US dollars.
The regional KYC regulations vary significantly. Indian customers are required to submit an additional Aadhaar biometric code, and the pass rate of verification has increased to 97%. Conversely, due to the gender segregation policy, female applicants in Saudi Arabia are required to submit notarized documents of their male guardians, and the processing time has been extended to 5 working days. In March 2024, the platform enhanced its liveness detection feature, reducing the misjudgment rate for 3D mask attacks from 0.7% to 0.03%. The dynamic lighting failure rate (e.g., an environment that is 200 lux) was as high as 12%, though.
The increased KYC requirements triggered by trading activity cause 17% of yearly verification volume. For one-off deposits in excess of 50,000 US dollars, proof of the source of funds (i.e., pay slips or tax reports) must be submitted. On November 2023, a Canadian client invoked the t4trade login risk control feature when the amount of Bitcoin transferred equated to 234,000 US dollars. The account block was lifted upon submission of the mining records of the mining pool and the hash of on-chain transactions within under 36 hours. According to the platform statistics, high frequency traders (who process over 200 orders per month) have KYC review every 90 days, i.e., 300% higher than regular clients.
Technically, t4trade’s KYC system adopts a distributed storage model. Client files up to 1.5GB utilized may be encrypted (AES-256) synchronously and sent to 8 data centers across the world within 9 seconds. Manual verification addresses only cases where the AI confidence level is less than 92%. In January 2024, the platform introduced blockchain evidence storage technology, reducing the time it takes to verify document authenticity from 55 minutes to 8 seconds. However, in countries like Cambodia, offline handwritten invoice verification still involves traditional means, with an average time spent being 14 hours.
In terms of costs, the users’ original KYC certification has the following underlying costs: document notarization fees (with an average of $38 per nation) and time fees (with a global median of 4.2 hours). The platform invests 27 million US dollars annually on ensuring the KYC system, reducing the risk of money laundering by 89%.
In extraordinary cases, demo account users are permitted to delay KYC when opening t4trade, even if the deposit facility is denied. 2023 platform statistics show that 13.6% of simulated customers had their permission to trade suspended for 15 days when the switch to real trading was made because they were unable to confirm in time. Educational institution clients can reduce the number of one-by-one KYC by a batch whitelist method (with a minimum group size of 20 persons), but they have to pay in advance a compliance deposit of 3,000 US dollars. This method has been used by the Quantitative Finance Laboratory of the National University of Singapore.