Every other month, you see exchanges and DeFi protocols getting hacked and drained of users’ funds. How can we say with confidence that exchanging crypto with ChangeHero is safe? In this article we will explain the reasons, our compliance practices, and let users who left ChangeHero reviews confirm this!
Problems with Centralised Exchanges
Custody
Centralized exchanges are custodial. This means you have to trust your cryptocurrency and data to a singular entity.
Usually, you would have to deposit your crypto assets to the exchange to trade. Once you decide to exit the market, your crypto must be withdrawn from the exchange to your wallet. A major risk that comes as a result of leaving your cryptocurrency in exchanges is the possibility of a security breach by hackers.
Data Breaches
When you register an account on an exchange, you need to go through KYC and provide personal information. There were many cases in which personal data collected during registrations fell into the hands of hackers.
In February 2019, Coinmama released a notice that there was a data breach which resulted in 450,000 email addresses and passwords leaking online. In the same year, the world’s largest cryptocurrency exchange, Binance was hit with a hack where 60,000 users’ KYC information got distributed in a Telegram group.
Hacking
For example, in 2019, hackers were able to gain access to Binance’s users two-factor codes and API keys. The exchange recovered from a $40 million loss, but its operations were still stopped for a whole week. Making things worse, it takes a lot of time to get the funds back if there was a hack.
Downtimes
Not to mention, centralized exchanges tend to get overwhelmed in high traffic and go into maintenance. It gets impossible to trade, making you miss out in price action, or withdraw the money.
Why is ChangeHero Secure?
If centralized exchanges are so faulty, is ChangeHero safe?
Non-custodial
ChangeHero is a non-custodial exchange platform. We don’t store users’ cryptocurrency, unlike centralized exchanges. The result of a swap is sent directly to the user’s wallet.
As there is no storage of user funds, there is no possibility of a security breach. Users’ private data is also secure since ChangeHero does not collect it to keep track of accounts. This fact makes the platform a safe crypto exchange option.
No registration or account
To exchange with ChangeHero, you do not need to use an account. This means no personal information is collected at any time you use the service. Besides, this saves you a hassle of logging in every time you would like to make a swap real quick.
Data breach is Impossible
And of course, these two facts save you from a headache that a data leak or security breach could happen. Since no funds or account information are stored on our side, there is nothing to hack or leak.
Resistance to Hacking
Therefore, ChangeHero has been working since 2018 without being hacked once. Unlike centralized exchanges which are attractive targets for hackers, ChangeHero is a safe crypto exchange platform.
How Does AML on ChangeHero Work?
According to the AML/KYC policy, we can ask a user to go through a KYC procedure if the ChangeHero’s security system flags as suspicious. A user can go through with the exchange after contacting support and going through a KYC procedure.
What can be expected from the ChangeHero KYC procedure? Pretty much, the usual thing: a selfie with an ID and some information about the origin of funds. It is written out in our AML/KYC policy! After completing the procedure, users can continue to enjoy safe crypto exchange.
Alternatively, they can decline and receive a refund unless there are reports about involvement of the funds in criminal activity.
Where does ChangeHero Get Information on Criminals?
ChangeHero is a member of Crypto Defenders Alliance (CDA), the initiative of industry professionals and blockchain analysts to combat cryptocurrency-related crime. The CDA maintains a blocklist of addresses participating in scams, fraudulent schemes and money laundering according to the reports from law enforcement.
ChangeHero’s AML in Practice
In lack of such reports, service adheres to the best practices. Such was the case in January, 2020. One of the users whose exchange was put on hold failed to pass a KYC procedure.
At the same time, they started leaving negative posts about ChangeHero to defame the service claiming their funds got stolen. For the duration of the incident, the funds did not leave the address that was generated for their exchange. Given the lack of official information and reputation damages, the refund had to be issued according to the Terms of Use.
There have been cases of successful reimbursement of defrauded victims with the collaboration of XRPlorer team. The XRP were stolen using fake giveaways. Thanks to the collective effort of the teams, the funds were stopped by ChangeHero and returned to the owner after an official request.
ChangeHero Reviews from Customers
Is ChangeHero legit? Don’t take our word, let the users’ ChangeHero reviews do the talking:
Conclusion
One of the main merits of a platform like ChangeHero is that it is non-custodial. We provide a safe crypto exchange platform: users are safe from hacks or personal information theft. If you encounter any problems, customer support is ready to help you anytime.
More guides about ChangeHero and all things crypto are available in our blog. Stay informed about the updates by subscribing to our Twitter, Facebook, Reddit and Telegram.
