In Australia and New Zealand, cryptocurrency exchanges must be registered with local authorities and comply with strict Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) laws.
To meet these obligations, we maintain an AML/CTF Program. This program outlines how we prevent criminals from using our platform to move or disguise funds linked to serious crimes like drug trafficking, modern slavery, fraud, and theft.
It's regularly audited to ensure it complies with the AML/CTF Act 2006 in Australia and the AML/CFT Act 2009 in New Zealand.
The ability to send cryptocurrency instantly and anonymously offers greater financial freedom for genuine users. Unfortunately, it also appeals to criminals. Because of this, we apply stricter controls than many traditional financial service providers.
As a result, Swyftx may request information about you or your transactions that your bank wouldn't. These requests help us prevent criminal activity and assist in protecting your account and funds from takeovers, fraud, theft, and scams.
It's important to understand that these programs operate without bias. If you are selected to complete further verification, it does not indicate suspicion, accusation, or that you have done anything wrong.
What is KYC?
KYC stands for Know Your Customer. We use this process to verify your identity and ensure your information is accurate and current.
Swyftx will require you to complete one or more of our three KYC verification levels throughout the life of your account:
Each level involves different steps, such as submitting documents, filling out forms, or taking a short phone call. If your personal information changes or becomes outdated, we may ask you to complete a KYC check again.
You can reduce the chance of repeated requests by ensuring the information you provide is correct and current.
What kind of information does KYC involve?
Information required during KYC verification may include, but is not limited to, your:
- Full name
- Residential address
- Date of birth
- Occupation or business activity
- The nature of your business with Swyftx, including:
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- The purpose of specific transactions
- The income or assets available to you
- The source and origin of funds for your deposits
- The source of your wealth, and
- Your financial position.
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We understand that this information is highly sensitive. If we request it, it is used solely by our compliance team to meet the requirements of our AML program and relevant legislation. We do not use it for marketing or share it with third parties.
Why has my bank never requested this much information?
While banks are subject to the same AML/CTF laws as cryptocurrency exchanges, their systems allow them to operate with lower risk.
Bank transfers include account names, numbers, and other traceable information, making it harder for scammers or criminals to misuse them. Funds sent through a bank can often be tracked and sometimes recovered.
Cryptocurrency is decentralised and anonymous. Once funds are sent, they're typically irreversible and much harder to trace. That's why we carry out more detailed checks upfront to prevent misuse before it happens.
Why has this verification only just become required?
We're legally required to monitor customer transactions as part of our AML/CTF Program, and an automated system is in place to do so. When something triggers this system, we may ask you to complete a KYC check.
Unfortunately, many legitimate transactions can look like suspicious ones, so often our more active customers may be asked to complete additional verification from time to time.
Customers often don't realise they're involved in a scam until we reach out during the verification process. While we understand KYC checks can take time, they are vital in protecting your account and the broader community from financial crime.
We regularly review and update our risk indicators to stay ahead of scammers. Your security remains our priority with every transaction you make on Swyftx.
These checks aren't personal, and they don't mean you've done anything wrong. They're an essential part of how we keep you, your funds, and the Swyftx platform secure.