Australia Will Regulate Bitcoin Exchanges Under AML Laws

The Australian government is looking to update its anti-money laundering laws to include bitcoin and other digital currency exchanges.

AccessTimeIconOct 27, 2016 at 3:46 p.m. UTC
Updated Aug 18, 2021 at 5:21 p.m. UTC

Presented By Icon

Election 2024 coverage presented by

Stand with crypto

The Australian government is looking to update its anti-money laundering laws to include bitcoin and other digital currency exchanges.

According to a consultation document published this week by the Australian Attorney-General’s Department, the government wants to begin drafting legislative proposals by the middle of next year. The goal is to begin finalizing that legislation in 2018.

  • Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
    13:18
    Bitcoin Mining in the U.S. Will Become 'a Lot More Decentralized': Core Scientific CEO
  • Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
    05:10
    Binance to Discontinue Its Nigerian Naira Services After Government Scrutiny
  • The first video of the year 2024
    04:07
    The first video of the year 2024
  • The last regression video of the year 3.67.0
    40:07
    The last regression video of the year 3.67.0
  • To get there, the government is soliciting public comment on the proposal, which comes amid a broader push to revise the country's money laundering laws, between now and the end of 2017. For now, the proposal is in an early stage, with relatively few details available as to how the legislation might be drafted or what kinds of companies beyond exchange services would be covered.

    The agency wrote:

    “The AML/CTF Act should be amended to regulate activities relating to convertible digital currency, particularly activities undertaken by digital currency exchange providers.”

    The proposed plan was released months after the Australian government released a broad policy statement on fintech, which included proposals to reduce the tax burden on bitcoin activity in the country and explore other legislative options related to the technology. At the time, the Australian Treasury indicated support for “a high-level guiding legislative framework” to govern how the country’s financial industry would integrate blockchain tech.

    It also aligns with recommendations from the Australian Senate earlier this year, which called for such a move.

    The plan comes as Australia’s private sector explores a range of blockchain applications, from trade finance to digital identity.

    Image via Shutterstock

    Disclosure

    Please note that our privacy policy, terms of use, cookies, and do not sell my personal information have been updated.

    CoinDesk is an award-winning media outlet that covers the cryptocurrency industry. Its journalists abide by a strict set of editorial policies. CoinDesk has adopted a set of principles aimed at ensuring the integrity, editorial independence and freedom from bias of its publications. CoinDesk is part of the Bullish group, which owns and invests in digital asset businesses and digital assets. CoinDesk employees, including journalists, may receive Bullish group equity-based compensation. Bullish was incubated by technology investor Block.one.


    Learn more about Consensus 2024, CoinDesk's longest-running and most influential event that brings together all sides of crypto, blockchain and Web3. Head to consensus.coindesk.com to register and buy your pass now.