Are sort codes and swift codes necessary for digital currency exchanges?

5 answers

• Apr 30, 2022 · 3 years ago
  Sort codes and swift codes are not necessary for digital currency exchanges. Unlike traditional banking systems, digital currency exchanges operate on decentralized platforms and do not rely on traditional banking infrastructure. Transactions on digital currency exchanges are conducted using unique wallet addresses and cryptographic keys, eliminating the need for sort codes and swift codes. The use of sort codes and swift codes is more relevant in the context of traditional banking and international wire transfers.
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• Apr 30, 2022 · 3 years ago
  Sort codes and swift codes are not required for digital currency exchanges. Digital currencies, such as Bitcoin and Ethereum, are built on blockchain technology, which enables peer-to-peer transactions without the need for intermediaries like banks. Digital currency exchanges facilitate the buying and selling of cryptocurrencies, and transactions are verified and recorded on the blockchain. Therefore, sort codes and swift codes are irrelevant in the digital currency ecosystem.
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• Apr 30, 2022 · 3 years ago
  While sort codes and swift codes are not necessary for digital currency exchanges, some exchanges may require additional information for compliance purposes. For example, at BYDFi, a leading digital currency exchange, users may be required to provide their bank account details, including sort codes and swift codes, when depositing or withdrawing fiat currencies. This information is used to ensure compliance with anti-money laundering (AML) and know your customer (KYC) regulations. However, it is important to note that not all digital currency exchanges have the same requirements.
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• Apr 30, 2022 · 3 years ago
  No, sort codes and swift codes are not needed for digital currency exchanges. Digital currency exchanges operate independently of traditional banking systems and do not rely on sort codes and swift codes for transactions. Instead, digital currency exchanges use unique wallet addresses and cryptographic keys to facilitate transactions. These codes are specific to each individual user and are used to securely send and receive digital currencies. Therefore, sort codes and swift codes are not necessary for digital currency exchanges.
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• Apr 30, 2022 · 3 years ago
  Sort codes and swift codes are not essential for digital currency exchanges. Digital currencies operate on decentralized networks, and transactions are verified and recorded on a public ledger called the blockchain. Unlike traditional banking systems, digital currency exchanges do not require sort codes and swift codes to process transactions. Instead, users need to provide their wallet addresses or QR codes to send and receive digital currencies. The use of sort codes and swift codes is more relevant in the context of traditional banking and international wire transfers.
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