New laws which would bring Bitcoin and other cryptocurrencies within Australia’s anti-money laundering and counter-terrorism financing (AML/CTF) regime continue to advance through Parliament.
The new laws propose to strengthen Australia’s financial intelligence regulator, AUSTRAC’s investigative and enforcement powers, and to close a regulatory gap by bringing digital currency exchange providers under the remit of AUSTRAC.
Should the bill be passed by Parliament, operators of digital currency exchanges will be required to:
• register with AUSTRAC;
• comply with customer identification and due diligence obligations (including “Know Your Customer” checks);
• keep appropriate records; and
• report large or suspicious transactions to AUSTRAC.
The Senate Legal and Constitutional Affairs Legislation Committee has recently recommended that the bill should be passed, so this is an important space to watch if you are considering providing digital currency exchange services.
Get in touch with us at Motus Legal to find out more about cryptocurrencies, AML/CTF legislation and financial services laws.
The team at Motus Legal