Quote from: nutildah on March 26, 2019, 03:41:39 PM

I remember when I signed up for Poloniex in 2014 I gave them a fake name, because I didn't necessarily trust them, as most people didn't. Then when their Circle acquisition came and they insisted everyone do KYC, I said screw that, because where I lived didn't even allow bitcoin exchanges and Poloniex would have certainly taken that into consideration. Poloniex also gave me the option of changing my customer name, which Trade Satoshi does not. They let me withdraw my coins, and I moved on. This is the standard I'm used to... It seems to me when an exchange uses KYC as an excuse to with-hold customer coins, something fishy is going on. BiteBTC has been engaging in the same behavior.

Then as was pointed out, some people performed the KYC to the best of their ability and were still denied access to their funds. I strongly believe Trade Satoshi recently turned to the darkside as they've racked up a huge number of complaints on social media as of late. They've always had their share of unhappy customers, but now they have way more than their share.

This is where there will be a division in opinion. Crypto is largely developed by those that believe in decentralization and anonymity. On the other hand it cannot be dismissed that by using a fake or erroneous name the contract made is either fraudulent or contains a serous error. (And therefore in breach of their terms and conditions or a crime).

Because value is involved it could be argued that it is fraudulent activity to obtain a financial advantage and in breach of AML laws.

It is a bit of a catch 22 situation. You signed up with Poloniex using a fake name because you didn't necessarily trust them but used their services contrary to their terms and conditions. Thus proving that they can't trust you because you deliberately lied.

I don't intend to attack you personally or hold it against you but am just using it as an example.

Legally it could be argued that a user using a fake name is fraudulently using the platform contrary to their terms and conditions. It is good that Poloniex recognized it as an issue and was sensible with the solution they offered. However - others may go down a different path and report it to the authorities in the jurisdiction that they are in.
Allowing a user to change their name on the platform potentially could cause liability for the platform if it is done by a hacker that then drains the funds of a user. Phishing was less of an issue years ago. Currently phishing and compromised user accounts are a huge threat.

The reality is that this situation would not have occurred if the user had not lied about their personal details. It is the user that committed the legal wrong .