Know-Your-Customer Process: Sec and Anti-Money-Laundering Policies

know-your-customer process: The SEC alleges that Kik did not do enough to determine whether all investors qualified as accredited investors, despite a know-your-customer process and other anti-money-laundering policies, according to Market Watch. It also allegedly did not determine whether investors intended to profit from their purchase or to immediately resell and distribute the digital coin. The SEC sued a Canadian social-media messaging company on Tuesday, charging Kik Interactive with raising 100 million without registering the offering of securities with the regulator. The SEC says it should have excluded retail purchasers of the token who intended to speculate on the value of its token, Kin. Form D is the notice filed by a company for an offering that is exempt from full SEC registration requirements. Kik used what's called a Form D offering to reach investors initially in late 2017. (news.financializer.com). As reported in the news.