Coinmerce has implemented a new verification measure regarding external wallets.
As part of their registration with De Nederlandsche Bank (DNB), all crypto providers operating in the Netherlands must comply with the Sanctions Act. Part of this Sanctions Act is the screening of counterparties during transactions. This means that when you send cryptocurrency to an external wallet, you must first verify that you own or control it. You can find out more about this legal requirement here.
We understand that this additional measure may feel to some as excessive or an invasion of privacy. Unfortunately, we have no control over the law and have no choice but to implement this measure.
What does this mean for you as a customer?
For customers who store their cryptocurrency on Coinmerce and have never, and will never, send cryptocurrency to a wallet outside Coinmerce, nothing will change.
But if you are a customer sending cryptocurrency outside Coinmerce, a new process appears the next time you try to do so. The process aims to verify that you are the owner of the wallet you are trying to send to.
Different types of wallets
There are three different types of external wallets you can verify:
A wallet whose private key you own, such as a hardware, software, mobile or web wallet. For example, Ledger, Trezor, Exodus, Blockchain.com.
A wallet provided by an exchange or broker. With these wallets, you do not have access to the private key and your wallet is linked to your account. For example, Binance, KuCoin or Kraken.
How do I verify a wallet?
Verification goes as follows: login to your Coinmerce account, go to your account and click on 'withdrawal addresses'. Optionally, you can also verify an address when starting a withdrawal from your wallets. Verifying an exchange or personal wallet is done by performing one of the following verification methods:
Uploading a screenshot of the address / wallet
The screenshot should show the full public address.
The screenshot should show the whole screen. In the case of a website, including the URL.
This verification method is possible with both exchange and personal wallets. Approval is done as soon as possible but may take longer outside office hours.
Carrying out a small deposit
Send a small amount of cryptocurrency from the external wallet you are trying to verify on Coinmerce. Do not send the crypto to your normal deposit address! There is a unique deposit address for this verification.
This verification method is only possible with personal wallets. Approval of verification is done as soon as possible but may take longer outside office hours.
Use your private key to sign a message we give you. Signing the message generates a hash. Give us the hash, and we can be sure you are the owner of the wallet. Please note that this method is recommended only for technical / advanced customers.
This verification is only possible with personal wallets. The verification is processed and approved immediately.
Once a wallet is verified, it is added to your address book. In the future, you can easily select and withdraw the cryptocurrencies without the need for verification.