I read this article and I wonder about something: "For instance, they (Waterhole) allow an optional three-step verification for the users, consisting of ID, photo and video verification."
So if you need to practically give them your DNA sample, then what is the reason behind escrow at all?
Well, it also says that you don't HAVE to do it, but that's besides the point. I'm more interested in potential profit, rather than keeping my privacy.
And you also don't have to verify your identity when you are selling bitcoins on pretty much every bitcoin exchange I dealt with.
But when you sell more that $XXX amount and they will ask you nicely to send them your ID and until then they will block your account.
I suspect this might be the case here. But I am not 100% sure yet.