KYC (Know Your Customer) is the process used by organisations to verify the identity of their users before granting access to services. It ensures that the person using a platform is genuinely who they claim to be, helping to create a secure and trustworthy environment.

One of the main reasons KYC is important is fraud prevention. By confirming user identities, businesses can reduce fake accounts, identity theft, and financial crimes. This is especially important for platforms that handle payments, personal data, or sensitive transactions.

KYC also helps organisations comply with legal and regulatory requirements. Many industries are required by law to verify customers to prevent money laundering, terrorism financing, and other illegal activities. Proper KYC protects businesses from legal penalties, fines, and reputational damage.

Another key benefit of KYC is trust. When users know that a platform verifies its customers, they feel safer interacting and transacting. This builds confidence in the service and encourages long-term user relationships.

KYC further helps reduce operational and financial risks. By understanding who their users are, organisations can detect suspicious behaviour early, prevent abuse of services, and protect internal systems from misuse.

In today's digital world, where services are increasingly online and remote, KYC is essential for sustainable and secure growth. It supports safe onboarding, protects both users and businesses, and forms the foundation of a reliable digital platform.