The KYC abbreviation means know-your-customer. OneCoin uses KYC protocols in order to prevent misconduct, money laundering, identity theft, financial fraud and terrorist financing.
By requesting documentation that proves the identity of each user, OneCoin makes sure that each transfer made using the protocol is not anonymous. OneCoin will be the first cryptocurrency storing the KYC documents of its users in its new blockchain, which is vastly different than the anonymity afforded to users by other cryptocurrency companies.
The KYC policy adopted by OneCoin includes identifying the user and verifying the identity by examining reliable and independent documents. The KYC information requested includes name, residential address and date of birth/country. Each user must go through a verification procedure every time his or her identity information is changed.