Topic: AML - Anti Money Laundering - page 2. (Read 312 times)

This is sad but true. Maybe op is not storing funds on an exchange but wanted to buy or sell some crypto and then after transactions from an address that is black-listed then the funds on the exchange is frozen. That is how some trusted exchange, gambling site take money from their customers that won't be considered as scam since it is in their terms and conditions or privacy and policy  though you did nothing wrong.

You can have such experience with the use of centralized exchanges, all they do is to take the privacy of the user's account into their hands, they may decide to carryout any action in revealing your data and identity, they have control over your financial assets and can freeze user's account any time, Binance is a good example that did such earlier this year freezing some user's account due to suspicious of AML on their respective account.

exchanges can set their thresholds and idea's of what they feel as a flag that is suspicious

the main one.. using a mixer.. why.. well mixing IS LAUNDERING!!
must be emphasised. MIXING IS LAUNDERING

..
now here is the thing.
if your funds are locked because you received a letter from a government authority saying you are under investigation and to seek a lawyer to explain the origins of funds to the court..
then thats the usual process..

but if there was not a court order.. usually an exchange, if legit and regulated, cannot and should not STEAL your funds for their silly internal business policy reasons.
they should atleast ask you for KYC to allow you to continue using some of their services within the exchange(by you providing more info to sway their suspicions down a few levels)..but whether you provide info or not they should allow a option to take your funds out and close your account.(apart from court order scenario previous paragraph)

they should not just confiscate your funds. (again unless their is a court order which you then apply to the court to explain your case, to get funds back if funds are legit funds not related to a crime)

..
check an exchanges small print of their service agreement terms and conditions.
a ethical, moral trusted exchange wont and should not have any reasons to steal/confiscate or not allow withdrawal of funds for their business internal reasons. at worse case they can stop you from "trading" but still allow an option to withdraw and close account if you do not wish to answer their questions

if they are claiming their terms allow them as a business to steal funds without a court order because you signed/agreed to their terms when you signed up.. then they are not a trusting or ethical business and in most cases probably are not actually regulated because many countries regulations do not let their licenced exchanges just steal funds without a court order

It often depends on how much money you want to exchange. The mere suspicion that it is an attempt to launder money will prompt the platform to freeze your balance until the verification procedures are completed. This is, of course, given that the platform is reliable.
As suggested to you by the rest of the members, the best solution is to use the peer-to-peer services provided by many platforms such as Binance. It is also advisable to split the amount if it is large.

Please give us details about the platform you used .

Sad but it is what it is when you go with centralized exchanges. It's the risk you take. It is advisable to trade P2P. If you are with bitcoin for long time then you should have a close circle who always buy sell btc. You can easily ask them fiat in exchange of BTC.

What was the exchange name?

There have been multiple such cases. Not only because of AML high risk positive after an transaction from some address that is black-listed, but it can be for any reason the exchange wants it to be. They can make up literally any reason and call it suspicious. Using a VPN? Suspicious. Having too much money? Suspicious.

If they want to, they can freeze your funds and nobody should be naive enough to think it won't happen to them.

Remember: not your keys, not your coins. Do not store funds on a third party wallet which someone else has access to. You will regret it.

A-one.