In the United States, there are no minimum limits to the basic due diligence requirements of KYC, so long as the person with whom the financial institution is doing business is a "customer" under the laws.
As to higher thresholds, US institutions require enhanced due diligence when dealing with cross-border transactions, among other things.
AML and KYC is a very complex and highly specialized area of the law.
Topic: KYC limits (Read 1686 times)
Are all foreign exchanges subject to US law?
Ah, a smart one. YES.
If you deal with Americans.
I'm an American and I don't even deal with Americans
Here's the part that governs my friend's activity:
Users of Virtual Currency
A user who obtains convertible virtual currency and uses it to purchase real or virtual goods or services is not an MSB under FinCEN's regulations.8 Such activity, in and of itself, does not fit within the definition of "money transmission services" and therefore is not subject to FinCEN's registration, reporting, and recordkeeping regulations for MSBs.
Users of Virtual Currency
A user who obtains convertible virtual currency and uses it to purchase real or virtual goods or services is not an MSB under FinCEN's regulations.8 Such activity, in and of itself, does not fit within the definition of "money transmission services" and therefore is not subject to FinCEN's registration, reporting, and recordkeeping regulations for MSBs.
Are all foreign exchanges subject to US law?
I am not an expert, this is just my opinion and only for your consideration. The guidance is quite broad and overreaching in my opinion.
"An administrator or exchanger that (1) accepts and transmits a convertible virtual currency or (2) buys or sells convertible virtual currency for any reason is a money transmitter under FinCEN's regulations, unless a limitation to or exemption from the definition applies to the person."
Here is a link to FinCEN's guidance on virtual currencies: http://fincen.gov/statutes_regs/guidance/html/FIN-2013-G001.html
This is why I chose to suspend Bitcopia's service. While the regulation is somewhat unclear, there are possible harsh penalties for non-compliance, especially if you are not making any effort to prevent money laundering i.e. Liberty Reserve.
"An administrator or exchanger that (1) accepts and transmits a convertible virtual currency or (2) buys or sells convertible virtual currency for any reason is a money transmitter under FinCEN's regulations, unless a limitation to or exemption from the definition applies to the person."
Here is a link to FinCEN's guidance on virtual currencies: http://fincen.gov/statutes_regs/guidance/html/FIN-2013-G001.html
This is why I chose to suspend Bitcopia's service. While the regulation is somewhat unclear, there are possible harsh penalties for non-compliance, especially if you are not making any effort to prevent money laundering i.e. Liberty Reserve.
Are you sure it says buys OR sells? I thought it was buys AND sells requires registration.
If you are an expert, please post here:
https://bitcointalksearch.org/topic/--227168
If you are an expert, please post here:
https://bitcointalksearch.org/topic/--227168
According to the guidance issued by FinCEN, there is no minimum. Any business that buys or sells bitcoins will have to implement an AML and KYC policy, and those policies are almost certain to include identity verification regardless of quantity bought or sold. Think, why did MtGox recently begin requiring verification for ALL accounts regardless of transaction limits? Some businesses are not complying with this policy at the moment, a risky move in my opinion.
"KYC verification is not required if you transfer less than $1,000 per day in/out of your CampBX account. "
Buy from someone locate -> localbitcoins.com
or
send me pm I'll charge 5% at this time
or
send me pm I'll charge 5% at this time
How much money can bitinstant (or competitor) exchange for bitcoins without verifying your identity? what are the different levels of KYC and what are the requirements for these levels? Is there anyway to get bitcoins anonymously and legally (with the US governments permission)?
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