AML RULES FOR CRYPTOCURRENCY EXCHANGES WERE CHANGED IN AUSTRALIA

There was corresponding material on new AML/CTF policy rules for cryptocurrency exchanges published on the website of the Australian Transaction Reports and Analysis Centre (AUSTAC) on April 3. 

There are the following criteria for conformity of an exchange as of April 3, 2018:

• registration in the agency;
• AML/CTF policy compliance;
• verification of users;
• submission of reporting on any suspicious actions on an exchange and transactions with the amount of over 10 thousand Australian dollars (7,700 USD). Data storage for 7 years.

Unregistered cryptocurrency exchanges are subject to penalties and criminal liability for illegal activities.

Due to the fact that certain amount of time is required for consideration of applications for the registration of stock exchanges, the arrangement stipulates that existing platforms have the right to provide services, but must register before May 14.

In December 2017, the Australian government approved a draft law on compulsory licensing of cryptocurrency exchanges in order to combat illegal use of cryptocurrencies.

According to the document, the AUSTRAC completely controls the activity of cryptocurrency exchanges.

In 2014, the law referring to cryptocurrency as a commodity or a product and obliging citizens of Australia to pay taxes on goods and services (GST, VAT) in the event of making payment in cryptocurrency or its purchase was adopted. Technology advocates and activists negatively assessed the adoption of above measure, so in order to address the issue, the government of the country has considered another draft law, according to which the necessity to pay the GST for the purchase or sale of cryptocurrency is eliminated for the Australians.

The law will enter into force in June this year, while solving the problem of "double taxation" in the country.

Cryptocurrency will be equated to foreign currencies starting from June 1, 2018.