For exchanges, ICOs that collect KYC information, when are they required to send information to the government.
If I remember correctly, in the US if you make a money transaction, such as through Western Union, or bank, $3,000+, within the same day, or smaller amounts during consecutive days, the institution must collect your ID information and Social Security and report it to the government. I forget which entity of the government.
Does that mean that if one participates in an ICO and puts in over $3,000, that gets reported to the government? Or if you move $3,000 out of an exchange, that gets reported?
Know Your Customer (KYC) is actually breaking the rule of financial freedom and privacy in crypto world. I do not agree with the ICOs gathering information, private information, from the investors. I would still prefer the old way that your identity is private. KYC encourages the government to detects those who are involved in cryptocurrency and may lead to taxation.