The Colombian authorities has issued new rules that power exchanges and people to report cryptocurrency transactions to the UIAF, the anti-money laundering watchdog in Colombia. The transactions should be reported through a web-based reporting system, and exchanges will probably be required to situation periodic studies of suspicious transactions made by customers.
Colombia Tightens AML Controls
New rules that direct customers and exchanges to report cryptocurrency transactions over a certain quantity have been accepted in Colombia. Decision 314 establishes that cryptocurrency transactions over $150, or cryptocurrency transactions made with a number of tokens whose worth goes over $450, should be reported to the UIAF, the anti-money laundering watchdog in Colombia.
This new regulation, which can take impact on April 1st, seeks to result in higher management over what is going on with cryptocurrency property within the nation and cease attainable cash laundering and terrorism financing actions that may very well be leveraging these property to go unnoticed. Concerning this, the decision states:
Digital property have created a scenario that deserves the intervention of the UIAF, to the extent that, though they’re operations that in Colombia usually are not unlawful by themselves, they will lend themselves to illicit actions, because of the anonymity or pseudonymity within the transactions utilizing them.
Exchanges will even need to situation a report of suspicious transactions that might ship the UIAF an in depth record of operations thought-about uncommon, and the customers that effected them.
Penalties and Regulatory Developments
The regulation additionally establishes penalties for exchanges and those that fail to adjust to these directives. If cash laundering is detected in these actions, noncompliant customers should pay between 100 and 400 minimal month-to-month wages, with different fines deriving from these crimes.
Decision 314 states that in 2019, the bitcoin nationwide market registered transactions for $124 million, nearly 1.7 instances the quantity registered in 2018. This progress prompted concern within the authorities about using these property for unlawful functions because of the newfound liquidity in these markets.
Nevertheless, the crypto oversight of the establishments in Colombia has additionally reached the tax surroundings. The DIAN, which is the tax regulator of the nation, introduced not too long ago it was taking measures to detect tax evasion concerning using cryptocurrencies for buying and selling or transacting.
What do you concentrate on the brand new necessities crypto customers and exchanges face in Colombia? Inform us within the feedback part under.
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