> For the complete documentation index, see [llms.txt](https://hub.bsvblockchain.org/llms.txt). Markdown versions of documentation pages are available by appending `.md` to page URLs; this page is available as [Markdown](https://hub.bsvblockchain.org/higher-learning/bsv-academy/how-spv-supports-legal-compliance-in-blockchain-technology/legal-compliance-through-verifiable-proof/identity-accountability-and-selective-disclosure.md). # Identity, Accountability, and Selective Disclosure While Bitcoin's original design emphasized **pseudonymity** through address-based transactions, SPV mechanisms can integrate with **identity frameworks** to support **Know Your Customer (KYC)** and **Anti-Money Laundering (AML)** compliance. The architectural innovation in BSV's approach is the **separation of concerns**: on-chain data remains pseudonymous through single-use derived public keys, but SPV proofs can be combined with off-chain identity verification. This architecture allows **regulated entities** to maintain compliant identity records while leveraging blockchain's transparency for transaction verification. A payment processor, for example, can maintain a database mapping customer identities (verified through KYC processes) to the derived public keys used in transactions. The blockchain itself contains no personally identifiable information (PII), satisfying privacy regulations, but the payment processor can prove to regulators which transactions belong to which customers by demonstrating control of the relevant private keys. --- # Agent Instructions This documentation is published with GitBook. GitBook is the documentation platform designed so that both humans and AI agents can read, navigate, and reason over technical content effectively. Learn more at gitbook.com. ## Querying This Documentation If you need additional information that is not directly available in this page, you can query the documentation by asking a question. Perform an HTTP GET request on the following URL with the `ask` and `goal` query parameters: ``` GET https://hub.bsvblockchain.org/higher-learning/bsv-academy/how-spv-supports-legal-compliance-in-blockchain-technology/legal-compliance-through-verifiable-proof/identity-accountability-and-selective-disclosure.md?ask=&goal= ``` `ask` is the immediate question: it should be specific, self-contained, and written in natural language. `goal` is what the user is ultimately trying to achieve, the reason they need the answer. Sharing it helps GitBook give you a better, more relevant answer. A goal is most helpful when it describes the outcome the user wants rather than restating the question. For example, with `ask=how do I create an API token`, a goal like `automate deployments from our CI pipeline` lets GitBook tailor the answer to that use case. The response will contain a direct answer to the question and relevant excerpts and sources from the documentation. Use this mechanism when the answer is not explicitly present in the current page, you need clarification or additional context, or you want to retrieve related documentation sections.