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They don't want to know that you own the ID - they want to know you are who you say you are. It is pretty stupid, but you can thank fraudsters and KYC for making it a stupid process.
If the arm is not in frame this is an indicator that the arm holding the ID could be manipulated into the image. They are looking for a fully attached arm. Does the shadows look right? Does anything look weirdly warped around edges?
There are so many things like that. All that stuff is not there just to make you dance so Jack Mallers can point and laugh at you from an empty shoe closet. It is a pain in the ass for the customer. It is a pain in the ass for the agent trying to get you through the pain in the ass process. Transmitting the data (notice they have you upload via a secure form?) is a pain in the ass.
It is a pain in the ass for all parties involved, but it is not security theater. We are talking about personal identity and handling personal information. I don't think companies like Strike or Swan are in the business of treating this as a joke.
There are no KYC options that you may look into. Can be its own pain in the ass but at least you're not gambling your identity information. The KYC process and any process that touches identity in an exchange is a nightmare.
Did you know if you live in one of those hotels that let you do month to month and live in it like an apartment do not qualify as a residential address with Prime Trust? The reason is because a hotel address is not legally a residential address and KYC information mostly requires residential information, not commercial.
KYC is an exclusive system that has a high error rate in filtering out bad actors.