Australian crypto exchanges now under the authority of AUSTRAC

From 3 April 2018 Digital Currency Exchange (DCE) businesses require to meet AML/CTF obligations, including:

• adopting and maintaining an AML/CTF program to identify, mitigate and manage money laundering and terrorism financing risks
• identifying and verifying the identities of their customers
• reporting to AUSTRAC suspicious matters, and transactions involving physical currency of $10,000 or more
• keeping certain records for seven years.

The measures were introduced after an 18-month consultation period with the Australian Digital Commerce Association (ADCA).

“The ADCA worked very closely with AUSTRAC to bring clarity and oversight to an industry that needed formal regulation in order to allow industry players to adhere to standards,” said ADCA chairperson Loretta Joseph.

“Australia, as a mature market with one regulator, and a government with an innovation agenda, can be a clear leader in the responsible adoption of blockchain technology.”

The website itnews.com.au reports that two domestic DCEs — Independent Reserve and Coinspot — confirmed that they have met their compliance obligations with AUSTRAC.

Over the next six months until October 3, 2018, a transitional “policy principles” period will be in place. During that time, AUSTRAC can only take enforcement action if a DCE is failing to take reasonable steps to meet compliance requirements.

“Transitional registration arrangements will be in place for existing businesses to allow them to continue providing services while their registration application is being considered, the AUSTRAC statement said.

All Australian-based DCEs will need to register for approval with AUSTRAC by May 14, 2018.


For more, read:
https://www.businessinsider.com.au/australian-crypto-exchanges-austrac-2018-4?mkt_tok=eyJpIjoiTUdaak1qa3dNakEzTUdZMyIsInQiOiJyUmhRZEx0bGlSWnRmbXZncUZTKzJsanNqazc3RDRZRXdMVzMrYjlBUkI4c2RDRFwvUXBEbStYb1RaTjRqR2xKUnNaaWhDM2F5QVJtWERCU2l2SHhhQ1pnbmxBMjhTWG8reDkyTzdTNjl6Nkt5bjZXenhvZG42WTR6bDlEU2JIa1FjMVhHd0I1S0VnelBtYTZ5T0o0VFVnPT0ifQ%3D%3D
and
http://www.austrac.gov.au/news/digital-currency-exchange-providers-register-online-austrac