fbpx

AML/KYC

Anti-money laundering and combatting the financing of terrorism and know your client policy

Bleutrade AML/KYC

BLEU DIGITAL ENTERPRISES LTD, registration number C 88906, incorporated under the laws of Malta whose registered address is 60/2, Melita Street, Valletta, VLT 1122, Malta (“Company”) shall take all necessary measures to minimise risk to services associated with Money Laundering (“ML”) and Terrorism Financing (“TF”), pursuant to the laws of Malta, the European Union and other relevant legislation.

The Money Laundering Prevention Policy (MLP) and the Identity Verification Policy (collectively, the “MLP Policy”) are designed to prevent, report and impede money laundering, the financing of illegal activities such as terrorism or drug trafficking, as well as financial services fraud.

These Terms define the conditions under which a User may access and utilise the system resources through the Site.

IMPORTANT: BY ACCESSING THE WEBSITE AND USING THE COMPANY, YOU HAVE READ AND AGREE TO BEING LEGALLY BINDED BY THESE CONDITIONS, WHICH CAN BE UPDATED PERIODICALLY. IF YOU ARE NOT IN AGREEMENT WITH THE TERMS, PLEASE DO NOT VISIT THE WEBSITE AND/OR DO NOT USE THE COMPANY.

The Company, because it is committed to preventing criminal activities and money laundering, will not initiate or continue to establishing commercial relations with those whose conduct raises suspicions of involvement with illegal activities. In this sense, the company will terminate/suspend the account of any client that gives reasonable cause for confirmation or suspicion of involvement with illegal activities.

THE OBJECTIVES

In order to minimize the risks the Company takes regarding certain responsibilities, such as: immediately updating and sharing laws and regulations related to this policy; undertaking to provide training and empowering employees regarding principles and rules geared to MLP (especially guidelines from the MFSA); the practice of stringent internal monitoring and control of transactions; developing a risk management plan and the practice of “due diligence” in your operation; registering and communicating suspicious transactions to the appropriate authorities and institutions, not requiring any prior warning to the user about the passing along of such information; maintaining records obtained in the KYC (know your client) procedure for a minimum period of 5 years for security reasons; restricting access to citizens under the jurisdiction of high-risk and non-cooperative countries, as specified in the Financial Action Task Force (FATF); and referral of Suspicious Transaction reports (“STR”) to the Financial Intelligence Analysis Unit (“FIAU”) so that it can carry out investigations as well as bring in any other competent authority in accordance with the established practice, to avoid any risk of
committing a “tipping-off” violation.

SPECIALLY APPLICABLE LAWS

Without excluding the other laws on the subject, the Virtual Financial Assets Law (“Law”) of Malta entered into effect in 2018, regulating Financial Assets (“VFAs”) and Virtual Financial Asset Services (“VFA Services”).

Under the terms of the aforementioned law, the Company is aware that VFA services are licensable in Malta and that the license holders must conduct business risk assessments of the activities of its clients, taking into account requirements as established by the FIAU; furthermore implementation Procedures, duly described by the standard and fully complied with by the Company, are in place. The law moreover provides that VFA license holders need strong support regarding the criminal conduct verification procedures and Money Laundering and Terrorism Financing Crimes (“MLTFC”).

According to the commitment assumed in these terms, the updates, downgrades and adjustments related to the VFA license and MLTFC must be appended and duly complied with by the Company, its employees and users.

The Company hereby recognizes its obligations with respect to the AML and CFT commitments arising from MLTFC and emphasizes that all relative activities involving VFAs present risks and challenges.

In addition to the proposed law, the Company is furthermore, among others, subject to the MLP and CFT compliance obligations for platforms operating in the cryptocurrency sector, pursuant to the FIFTH ANTI-MONEY LAUNDERING DIRECTIVE and DIRECTIVE 2018/843 FROM THE EUROPEAN PARLIAMENT AND OF THE COUNCIL OF 30 MAY 2018 AMENDING DIRECTIVE 2015/849, AS WELL ASON THE PREVENTION OF THE USE OF THE FINANCIAL SYSTEM FOR MONEY LAUNDERING OR TERRORISM FINANCING AND AMENDMENTS. The Company is also in compliance with the EU 2009/138/EC AND 2013/36/GUIDELINES, APPLIED BY THE EU MEMBER STATES (IN WHICH MALTA IS LOCATED).

In this regard, a THE COMPANY ASSURES THAT IT IS IN COMPLIANCE WITH THE RULES AND DIRECTIVES AS CITED ABOVE. AND SO THAT IT MAY CONTINUE TO EXERCISE ITS SERVICES AND MAINTAIN A GOOD RELATIONSHIP WITH YOU, IT IS NECESSARY FOR THE SUPPLY OF ADDITIONAL INFORMATION REGARDING DATA AND CHANGES.

MLP/CTF PROCEDURE

ML is the process by which criminals attempt to conceal the true criminal origin and property of the product of their illicit activities. In short, it is the process by which the proceeds of crime are converted into assets that appear to have a legitimate origin. If the goal of the offenders is successfully achieved, then such conduct enables criminals to maintain control and take advantage of these resources.

In order to prevent such conduct in the cryptocurrency market, the FIAU (Financial Intelligence Analysis Unit) issued on October 31, 2018 a consultation document regarding the application of anti-bribery and anti-corruption policies related to the VFA sector.

Standardization of such policies should be issued by a competent authority for VFA service providers and companies that conduct AGV activities in the near future. This fact could lead to regular changes of this manual.

TF is the process by which terrorists (individuals or legal entities) are funded to carry out a specific terrorist acts or those of an organization, group or person engaged in that purpose. Illicit conduct involves the receipt, collection or provision of funds, whether originating from legitimate or illegitimate sources, for the use of those who engage in such activities.

The scope of the Company in implementing the MLP/CFT Handbook is to mitigate the adverse effects of criminal economic activities and to promote the transparency, integrity and stability of financial markets, as well as to preserve the applicability of the Maltese jurisdiction to the monitoring of of any request of a client who presents irregular patterns of behavior.

In order to reduce the possibility of the Company being used as a means of money laundering or for financing terrorism, it must obey the following measures:

  • Efficient parameters to identify any activities that are not in accordance with the MLP/KYC Manual and thereby prevent ML/TF activity.
  • Provide the necessary training to your MLP/CFT staff to take action when identifying suspected (in-house) activities.
  • Pesignate a Money Laundering Reporting Officer (MLRO) to issue STRs (Suspicious Transaction Reporting) to the FIAU, in addition to being responsible for developing the necessary policies, procedures, training and awareness for the Company regarding the topic.

DUE DILIGENCE

The User hereby attests, from the outset, to being cognizant of the volatile nature of the business, and that the Company has taken all the steps necessary that are required for this activity. The standard Client Due Diligence procedure (“CDD”) must be performed in the user acceptance stage on the platform, and requires, first and foremost, enhanced verification or KYC (collection of basic personal information: such as name, address, date of birth, nationality, which does not prevent the request for other additional information to comply with KYC, MLP, relevant laws and regulations).

The KYC policy requires:

  • For meeting the requirements of relevant legislation and regulation;
  • That the Company can conduct due diligence and is reasonably assured that the clients are who they say they are;
  • To offer them the requested products or services;
  • To protect against fraud, including identity falsification and identity fraud;
  • To help the Company identify, during the course of an ongoing relationship, what is unusual and allow such unusual activity to be examined and to avoid crimes of money laundering, fraud or manipulation of criminal or terrorist property.
  • To allow the organization to assist law enforcement by prohibiting the creation of
    anonymous accounts or relationships for illicit purposes.
  • So as the companies can demonstrate to supervisory authorities that the scope of the measures is appropriate to the risks of money laundering and terrorist financing.

Also, according to the Third European Directive, which has issued the requirements for compliance with Due Diligence provided by the FATF, we can mention that the Company adopts, among other measures, continuous monitoring, identification of effective beneficiaries of legal entities and structures, and enhanced diligence for higher-risk clients.

EDD (KYC Enhanced Due Diligence) is applicable for clients who are exposed to a greater risk, in which case more monitoring is required . The risk assessment will determine the need for information and verification throughout the business relationship.

REGISTRATION AND MAINTENANCE

The company will maintain, among others, records regarding Customer Due Diligence (CDD); shall continuously monitor internal, external and any other records capable of recognizing individual transactions and verifying compliance with the MLTFC, with applicable procedures and issued by UIAF, Rule 13 of the MLTFC, and other relevant legislation.

AMLD 5

Measures for due diligence swill be strengthened in relation to the clients of countries considered to be of the third world (identified by the EU Commission as countries at higher risk for money laundering). For these, a a more rigorous set of due diligence measures will be applied.

POLITICALLY EXPOSED PERSON

The Company agrees to maintain appropriate procedures to confirm that a user may be considered a PEP. W hen so identified, the Company must undertake a series of Enhanced Due Diligence (EDD) measures – additional to the KYC process regardless of whether the clients are foreign or domestic PEPs. The Company should apply the same measure when the client or the beneficiary is a member of the family or close collaborator of a PEP.

TRANSACTION SUPERVISION

The Company’s platform constantly establishes and adjusts the daily trading limits and withdrawals of cryptocurrencies based on the need for safety and the real state of the transactions.

If the transaction happens frequently in a wallet you have registered and a new one is inserted, and the transactions are beyond reasonable circumstances, our team of professionals will evaluate and determine if this transaction is suspect; if we identify a specific transaction as a suspect based on our evaluation, we may adopt restrictive measures, such as suspending or denying the transaction.

SUSPICIOUS ACTIVITIES REPORT

Among the obligations assumed by the Company is the communication in suspected ML/ FT cases, to competent authorities, as required under the MLTFC Regulation No. 15.

Within the work environment, the obligation is manifested through the possibility of preparing an internal report, in which employees can report an activity that is suspect to the MLRO. And it is up to this officer to determine whether the available information can be considered sufficient for STR (suspicious transaction reporting) to be made to FIAU.

When the suspicion of BC/TF is linked to a user in a transaction still in process,, the Company undertakes to abstain from carrying it out , file the STR and delay the execution of the transaction.

Once the transaction is carried out and some risk has been observed, the Company is responsible for sending the STR to the FIAU immediately, and within a maximum period of 24 (twenty four) hours from the transaction execution date, the Company must provide information about who carried out the transaction. It should be noted that this procedure is an exception and not a general practice.

In order to prevent third parties from acting on behalf of others, the Company may confirm the identity by means other than those reported in the company policies. If it is confirmed that the transaction involves a person acting on behalf of others, the parties must be identified, and legally appropriate measures must be taken.

Ready to get started?

Fasten your seat belt and get ready for amazing trades on your platform.

© 2014-2019 Bleutrade. All rights reserved.