Authentication became mandatory in Kokoin; Necessary measures for Iranian traders and introduction of alternatives

It will be mandatory to perform authentication in Kokoin digital currency exchange from July 24. Since it is not possible to authenticate with Iranian identification documents in Kocoin, users have to choose another option for their transactions; But what options are currently available and what are the risks of each?

Exclusive to Erzdigital – Yesterday, Kocoin exchange, which hosts a significant number of Iranian traders, officially announced that authentication will be required for all users of this platform from July 15 (July 24); A similar experience to requiring authentication in Binance in 2021, which will cause Iranian traders to migrate to platforms without authentication.

Iran is on the list of countries that Kocoin refuses to provide services to, and identification documents related to our country are not accepted in this exchange. The use of fake documents or foreign passports for authentication also has many risks and is not recommended by experts under any circumstances.

According to Kocoin, after July 24, users who have not authenticated can only sell their assets in the spot market or close their trading positions in the futures and margin markets. After this date, it will not be possible to deposit Kocoin for unauthenticated users, but it is still possible to withdraw.

Although it is possible to withdraw after July 24, it is better to close your trading positions in Kocoin and withdraw your assets from this exchange before this date. Also note that if you do not have valid non-Iranian documents and authentication conditions in Kocoin, you should not make deposits to your addresses on this platform after July 24.

Alternatives to Bitcoin

The activity of Iranian traders in foreign platforms has always had its own risks, and unfortunately, over the past years, due to the increasing strictness of international platforms, the access of Iranian users to these exchanges has gradually become more limited.

There are four main options among Iranian Kocoin traders as alternatives to this platform, among them Bitget, MEXC, Coinex and BingX. Bitgate and MEXC currently do not require authentication and you can operate in them without providing identity documents. However, Coinx and Bingx clearly accept Iranian identity documents for authentication from their users, and for this reason, they had attracted a part of Iranian traders before authentication was made mandatory in Kocoin.

Activity in Bitgate and MEXC in terms of authentication has conditions similar to Kocoin in the past, where there was no requirement for authentication, but with authentication, it was possible to withdraw assets with amounts greater than the specified limit for 24 hours.

As it was said, Quinx and Bingex clearly accept Iranian documents for authentication from users, and this is despite the fact that Iran is on the list of sanctioned countries of the US Office of Foreign Capital Control (OFAC) as well as the FATF blacklist, and providing services To this country, it can create some kind of legal challenge for any platform active in international markets.

For example, Bingx has made it quite clear in the regulations section of its website that it does not provide services to Iranian users. Therefore, the authentication of Iranian traders that takes place on this platform is a violation of Bingx’s own internal regulations and is completely contradictory to what was announced by the exchange team.

Due to the risks that exist regarding the unusual form of activity of Quinx and Bingex, some users prefer to use options that do not bypass sanctions regulations by receiving Iranian identity documents, but at the same time, they are not required to perform authentication.

Activity in Bitgate and MEXC exchanges, which do not have mandatory authentication, as well as the unusual conditions of Coinx and Bingx in dealing with Iranian users, is still associated with its own risks, just like the conditions of Kocoin in the past, and it is not at all unlikely that these exchanges will also after some time Make authentication mandatory on your platform for all users. It is also necessary to note that activity in these two exchanges should be done using IP change tools such as VPN and with security considerations.

In general, it can be said that Iranian users have to choose between bad and worse, as in the past, and basically there is no safe foreign choice for an Iranian trader.