What are the regulations and licensing requirements for cryptocurrency brokerages in Australia?

1 answers

• Myrick FengerMay 26, 2024 · 2 years ago
  In Australia, cryptocurrency brokerages are subject to regulations and licensing requirements to ensure the protection of consumers and the integrity of the financial system. The Australian Securities and Investments Commission (ASIC) is responsible for overseeing and regulating brokerages. To operate legally, brokerages must obtain an Australian Financial Services (AFS) license from ASIC. This license requires meeting specific criteria, including having adequate financial resources, implementing proper risk management systems, and complying with anti-money laundering and counter-terrorism financing regulations. Additionally, brokerages must follow Know Your Customer (KYC) and Anti-Money Laundering (AML) procedures to verify the identity of their customers and report any suspicious activities. By complying with these regulations, brokerages contribute to a safer and more transparent cryptocurrency trading environment in Australia.
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