Metaverse platform The Sandbox would require Know Your Buyer (KYC) verification for its staking processes, based on an Aug. 3 announcement.
The announcement said that solely verified customers may deposit SAND, the platform’s native token, and declare staking rewards, whereas non-verified customers might be positioned into withdraw-only mode. Information from blockchain analytics agency Messari reveals that 123 million, or 6.7% of the token’s circulating provide, is at the moment staked by customers. The Sandbox builders wrote:
“To reinforce person safety and compliance, we have now applied KYC verification for our staking course of. Our aim is to make sure that our customers’ accounts are verified earlier than they’ll take part in staking or declare their earnings.”
On June 6, Cointelegraph reported that SAND was one in every of 68 cryptocurrencies the U.S. Securities and Change Fee (SEC) deemed to be a safety in its newest lawsuits towards Binance and Coinbase. SAND was deployed on the Ethereum blockchain in 2012 by San Francisco gaming agency Pixowl. In 2018, Hong Kong-based Animoca Manufacturers acquired Pixowl through its subsidiary TSB Gaming, intending to construct a 3D metaverse using blockchain know-how.
Citing numerous preliminary trade choices and personal gross sales performed by builders over time, the SEC alleges:
“The data TSB publicly disseminated has led SAND holders, together with those that have bought SAND since Could 2022, moderately to view SAND as an funding in and to anticipate to revenue from TSB’s efforts to develop the Sandbox protocol, which, in flip, would improve the demand for and the worth of SAND.”
Because the publication of the Coinbase lawsuit, Animoca Manufacturers co-founder Yat Siu has criticized the shortage of “consistency” relating to SEC laws and praised Hong Kong’s shifting perspective in direction of blockchain.
To reinforce person safety and compliance, we have now applied KYC verification for our staking course of. Our aim is to make sure that our customers’ accounts are verified earlier than they’ll take part in staking or declare their earnings.
Unverified customers can nonetheless withdraw their $SAND,…
— The Sandbox (@TheSandboxGame) August 3, 2023
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