Telegram wallet bot implements stricter KYC, sets transaction limits
User data will be transferred to the new service provider WOT Global Solution
Custodial models allow for regulation but compromise privacy and decentralization


Telegram Wallet KYC
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LUCKNOW (CoinChapter.com) — Wallet, a popular third-party crypto wallet bot, is undergoing a major change. The bot will soon implement stricter know-your-customer (KYC) verification steps and switch to a new service provider, which will affect users’ privacy and transaction limits.


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From June 3, 2024, wallet users will have to reveal their name, phone number and date of birth to access all functions except withdrawals. The previous lax KYC norms allowed users to enjoy the wallet's services without any identity verification.
Three levels of verification when accessing a Telegram wallet
The updated KYC process introduces three different tiers, each with its own restrictions and requirements. The "Basic" level only requires name, phone number and date of birth. This level will limit daily cryptocurrency inflow transactions to approximately 3,500 euros ($3,780) and monthly transactions to approximately 35,000 euros ($37,800).
To unlock higher limits, users must move up to the “Extended” tier, submitting a national identification document. This tier allows daily transactions up to €100,000 ($108,000) and monthly transactions up to €1,000,000 ($1,080,000). For those who need higher limits, the “Premium” tier requires a residential address.
Notably, the changes do not apply to the wallet’s TON Space sub-wallet, which allows users to conduct decentralized exchanges and transfer non-fungible tokens (NFTs) without custodial restrictions.
User data will be transferred to the new service provider
In addition to the comprehensive reform of KYC, Telegram's wallet has also changed its service provider. From May 30, 2024, WOT Global Solution will take over the role of service provider for the wallet. The new service provider will collect all user data from the previous operator.
Users who wish to prevent their data from being shared with WOT Global Solution must delete their wallet accounts by May 20. The company said the transition is part of its "ongoing efforts to provide better services."
The wallet is able to enforce such strict restrictions and KYC requirements due to its custodial nature. The wallet operates as a custodial cryptocurrency wallet, meaning that users do not directly own or control their assets. Instead, they entrust the task of managing and storing cryptocurrencies such as Bitcoin (BTC), Ethereum (ETH), and Toncoin (TON) to a third-party entity, the wallet itself.
This custodial model contrasts with self-custodial wallets such as MetaMask, Trezor, and Ledger, where users have full control over their private keys and funds without the need for KYC or third-party custody. However, according to the company’s COO Khalil Mirahmed, the wallet’s custodial approach is simply to simplify the onboarding process for new users.