Australia is one of the most attractive options for regulated cryptocurrency businesses, as the country allows businesses to register as a Digital Currency Exchange (DCE) with the Australian Transaction Reports and Analysis Centre (AUSTRAC), the regulator for cryptocurrency businesses in the country.
Obtaining the DCE license is compulsory to all those offering cryptocurrency exchange activities in Australia since April 2018.
Porat Group is proud to offer our clients a full set up and licensing package for the DCE license in Australia, following a successful case study which was completed with the first DCE licensee we worked with, who became fully registered and operational in 2018. (Naturally we have worked with additional clients since)
The setup package will include incorporation of a local company, drafting, reviewing and submitting the license application package, liaising with AUSTRAC until a final decision is made on the application, as well as opening a bank account with a top tier bank in Australia.
For those who wish, our firm can also assist with the setup of suitable office space and the sourcing of qualified local representatives, such as local directors and employees, as well as legal and compliance services following grant of the license.
Within the DCE license, you may offer your clients an online cryptocurrency exchange platform (where cryptocurrencies can be bought and sold). You are also permitted to function as as OTC trading desk for high value institutional clients. The DCE platform may also serve as an alternative payment solution and as additional means of depositing in cases of an existing online business.
The licensing process is rather straightforward and relatively fast, compared to many other jurisdictions where cryptocurrency exchanges can be licensed. The licensing process focuses on the shareholders and key personnel of the applicant, the proposed business model, as well as on an in depth AML / CTF risk assessment.
There are no applicable capital requirements to hold this license. The local physical presence is rather modest, consisting of setting a small local office and hiring a local representative. The ongoing reporting duties are moderate and consist of AML reporting, mainly focusing on suspicious transactions and certain types of transactions crossing a pre-defined reporting threshold.
Porat Group will be happy to assist you with everything you need, including an AUSTRAC license, in order to set up your crypto business in Australia. Contact us for a free quote, plan and to get started!