Here is an article about “Cryptomance Decentralization: The role of a decentralized blockchain explorer and knowledge -based links”:
Cryptocurrency decentralization: The role of a decentralized Blockchain explorer and knowledge -based links (KYC)
The country of cryptocurrencies has undergone significant changes in recent years, and more and more users are receiving digital currencies such as bitcoins and ethereum. However, the security and confidence in these transactions were the main problem of many individuals and institutions. To solve this problem, Blockchain explorers were decentralized as a decisive part of the ecosystem cryptomena.
What is a decentralized Blockchain explorer?
Decentralized Blockchain explorer is a software that allows users to examine and verify the validity of the blockchain without relying on the central authorities or intermediaries. Unlike traditional centralized blockchains, such as a lightning network of bitcoins, decentralized explorers work independently and use distributed book technology (DLT) to ensure that all nodes in the network have the same word when verifying transactions.
Decentralized blockchain explorers are designed to provide users with a transparent and safe way to discover new cryptocurrencies, understand their basic economy and verify the legitimacy of existing ones. With the increase in decentralized exchanges (DEXS), which offer a number of business functions, decentralized Blockchain explorers have become the basic tools for investors, developers and enthusiasts.
What is the custody based on the knowledge (KYC)?
Knowledge -based management is a regulatory framework aimed to ensure that financial institutions and organizations observe money laundering (AML) and the fight against regulations on the financing of terrorism (CFT). The KYC includes verification of the identity and background of users who interact with digital assets such as exchanges, wallets and decentralized financing platforms (Defi).
Kyc is based on a two -step process: Identification and verification. The first step requires users to provide basic personal and financial information, which helps the authorities understand their risk profile and assess compliance. The second step involves verifying the authenticity of documents, such as identification documents and address evidence to ensure that users are about what they claim.
The importance of a kyc in a decentralized cryptocurrency
In the context of a decentralized cryptomena, Kyc is particularly important because of the anonymity and pseudonymity associated with blockchain transactions. Without established verification processes, individuals can engage in illegal activities such as money laundering, financing terrorists and identity theft.
Decentralized Blockchain explorers play a decisive role in ensuring compliance with KYC regulations by providing users with transparent and safe ways to verify their identity and background. This allows exchanges, wallets and other decentralized services to identify and verify legitimate users, reducing the risk of illegal activities on their platforms.
Proven procedures to use decentralized Blockchain Explorers
To ensure the safe and compatible use of decentralized blockchain explorers, follow these proven procedures:
1.
- Verify user credentials
: Make sure that users verify their identities and background through the KYC processes before they allow them to interact with your platform or service.
3
Use robust security measures
: Implement safe communication protocols, use encryption and protect user data from unauthorized access.