Why do Firi have to go through KYC (Know your customer) processes?
As a cryptocurrency exchange registered with Finanstilsynet, we are required to obtain information from our customers.
When you create an account with Firi, we will ask you questions about who you are, how much you earn, how much you intend to invest, where your money comes from etc. We are obliged to obtain this information under Hvitvaskingsloven. This requirement also applies to banks, real estate agents and the rest of the financial industry. We, like everyone else, have a duty to take care of our customers, and uncover money laundering, financing of terrorism and illegal transactions through our platform. Our most important values are safety and trust, so by knowing our customer we can also prevent our customers from being scammed by third parties.
Why do I need to verify my account?
When you register at Firi, you must also verify your identity with BankID. The purpose of this is to ensure that you are who you say you are and that you are over 18 years of age. Furthermore, and in accordance with Hvitvaskingsloven, you must verify your identity in order for us to ensure that you are not exposed to or commit criminal economic activity such as money laundering.
What is KYC (Know your customer)?
KYC is a set of processes where we verify the customer's identity and ensure that the customer is acting legally. As reporting entities under Hvitvaskingsloven, we must comply with a number of requirements to prevent and detect attempts at money laundering and other criminal activities.
How is KYC carried out?
The first step in carrying out KYC is confirmation of identity using BankID.
The second step is to fill out a customer control questionnaire. This is quick and easy to fill out. We are required to ask you where your capital comes from, the purpose of the customer relationship and trades, as well as other relevant information.
We only allow users who have confirmed their identity with BankID and filled out the customer control form to use our services.
How and for how long is information used for KYC stored?
We store this information encrypted in our database and only our customer service representatives can access it.
We are required to keep copies of documents and collected data for five years after the customer relationship has ended or the transactions have been completed.
Why do I have to share private, financial information with Firi?
We have a duty under the Anti-Money Laundering Act to request personal questions about your income, your investment plans, where the funds come from, etc. This way you can feel safe when using our platform.
Why do you ask for extra documentation?
Occasionally, customers are asked to upload additional documentation for customer control. This could be because some of your answers in the questionnaire or some of your transactions have broken a pattern. Here are some examples:
a. You have stated that you will deposit less than 10 000 NOK a year with MiraiEx, but you suddenly make a deposit of 200 000 NOK.
b. You have stated that your funds come from your pension, but you make monthly deposits of 50 000 NOK.
c. Abnormally large deposits/withdrawals are made.
d. You answer the questionnaire that you are a politically exposed person.
This extra information will ensure that our customers are not exposed to criminal economic activity.
Why is my account blocked for trading and withdrawals during KYC?
This is to ensure that the customer is not exposed to or commits illegal activities, such as money laundering or fraud. This does not mean that we are suspecting our customer of anything, but it is an additional security measure.
What happens if I refuse to answer the questionnaire or upload additional documentation?
If we do not obtain documentation about the customer, we are obliged to refuse to establish the customer relationship or to terminate the customer relationship. When the customer's user account is closed, the funds in the account will be exchanged for Norwegian kroner and returned to the owner's bank account. This applies if the funds have not been frozen by the authorities.
Why do you ask if I am politically exposed?
If you hold a political position, you are more exposed to money laundering and corruption than others. This also applies to family members and relatives of politically exposed persons. Of course, this does not mean that you cannot use MiraiEx, however, we will give you additional follow-ups.
Why do some transactions take a while?
We need to double check transactions from time to time, especially if they break a pattern. Of course, this does not mean that we suspect the customer of anything, but it is our duty to ensure our customers’ safety.
Usually, there is a natural explanation for the broken pattern.
What happens if Firi discovers a transaction that is suspicious or unusual?
If we discover a suspicious transaction, we will take immediate action.
This is what happens:
a. The system tells us about the transaction, and we investigate the matter further.
b. You will be asked about the transaction.
c. The user account can be temporarily blocked for trading and withdrawals.
d. You may need to upload additional documentation.
e. In most cases, the customer's explanation and documentation are sufficient for us, and the customer can continue trading on Firi.