Australian authorities to regulate bitcoin

The Australian Parliament makes a move to control use of cryptocurrency
17 October 2017   1059

Within the reform of governmental anti-money laundering and counter-terrorism financing law Australian authorities published a revision of the bill according to which bitcoin exchanges will be strictly controlled by the law. The Senate Legal and Constitutional Affairs Legislation Committee give priority to the regulation of digital currency operators.

The main measures applied to digital currency exchanges include the possibility of imposing civil penalties for operators of digital currency exchange services which are not registered, and enabling chief executive of Australian Transaction Reports and Analysis Centre to expand or narrow the boundaries of the digital currency definition.

AGD informed the committee that this aspect of the bill reflects technological advancements in digital currency. It noted that the current regulatory regime under the AML/CTF Act was designed in 2006 and applies only to an 'e-currency', which is 'backed by a physical thing. It excludes convertible digital currencies, such as Bitcoin, which are backed by a cryptographic algorithm'. 
 

Anti-Money Laundering and Counter-Terrorism Financing Amendment Bill 2017 

The approach of the committee to regulation is supported by an overview of the current legislation in accordance with the recommendations of the Attorney General (AGD). Legal Board called for recommendations on possible exemptions for transactions with a low value of less than $ 1,000 at bitcoin exchanges while The Law Council called imprisonment in connection with aggravating offenses between 2-4 years and even up to 7 years in cases which are extremely severe.

As soon as the committee recommended the bill to be introduced, the new service and register will be designated within six month’s from the adoption of the bill.

Binance Singapore Unit to Apply For License

Under the new law, aimed at regulating crypto paymetns and trading, firms must register with the Monetary Authority to receive a license
17 February 2020   246

Binance, a Singapore-based cryptocurrency exchange unit, has applied for a license under the new Payment Services Act, which entered into force on January 28.

We have already applied. We submitted the application pretty fast. Binance’s Singapore entity has been in close touch with the local regulators, and they have always been open-minded.

 

Changpeng Zhao

Founder and CEO, Binance

Under the new law, crypto companies in Singapore must register with the Monetary Authority and receive one of three licenses: an exchange of money, a standard or large payment institution. The measure is aimed at regulating payments and crypto trading using requirements for participants in the traditional finance industry. Zhao did not specify which of the licenses Binance Singapore chose.

Binance has been offering crypto-fiat trading services in Singapore since April 2019 and works with eight coins, including Bitcoin, Ethereum and XRP. The trading platform is supported by Vertex Venture Holdings, a venture division of Singapore's Temasek Holdings.