The Know Your Customer (KYC) is a process followed by financial institutions, businesses or banks to verify the identity of their customers or users. Traditional KYC procedures are repetitive, centralized, and highly vulnerable to sensitive data exposure today. This repetitive task reduces the ease of use; due to repetition, it is costlier for banks or financial institutions. There are plenty of papers published to address these issues and propose various solutions, such as storing the user’s data directly on the blockchain, which requires high transaction costs, and storing user details on the IPFS. Then, the hash of the user’s data provided by IPFS is stored on the blockchain. Since the data on IPFS is directly stored, it can be accessed by anyone who has the hash. So, to address this issue, we propose a solution where, before storing the user’s data on the IPFS, it is encrypted using the AES encryption algorithm, and the hash of the encrypted data is provided to the user and stored on the blockchain. This decentralized and secure KYC system minimizes redundancy, enhances user control, and fortifies data security.