Customer Due Diligence and Anti-money Laundering Policy
bit4coin is firmly committed to promoting a robust ecosystem and participating in international efforts to fight against fraud, money laundering and financing of terrorism.
To ensure that bit4coin conducts its business with necessary integrity, the company has put procedures and measures in place regarding customer acceptance:
- bit4coin identifies and verifies its customers and professional partners: customer due diligence (‘CDD’) / know your customer (‘KYC’);
- bit4coin monitors its customers’ transactions for non-standard behaviour or other unusual transactions: anti-money laundering (‘AML’) and countering terrorism;
- bit4coin screens customers for sanctions.
Regulated by De Nederlandsche Bank N.V.
B4C Markets B.V. is regulated by the Dutch Central Bank (DNB) as a cryptocurrency service provider with registration number: R179444 DNB supervises bit4coin’s compliance with the Dutch Prevention of Money Laundering and financing of terrorism Act (Wet Witwassen en Financieren Terrorisme, ‘Wwft’) and the Dutch Sanctions Act 1977 (‘Sw’). bit4coin is not subject to prudential supervision or conduct supervision. This means that there are no financial requirements, business risks are not monitored and there is no consumer protection.
Legislation and regulations
The company’s CDD Policy is set up in line with the Wwft and the Sw. Pursuant to the Wwft, bit4coin is required to first identify its customers and then subsequently verify their identities based on independent and reliable documents.
Know your customer (KYC)
The process of knowing your customer, otherwise referred to as KYC, involves verifying the identity of customers when they use the products and services on this website. The verification of customers’ identity is an attempt to protect customer funds, to minimise the risk of fraud, identity theft and money laundering. More details can be found in bit4coin’s CDD Policy and its Onboarding and Monitoring Procedures documents, which is based on the standards and recommendations of the Financial Action Task Force (FATF) and Dutch anti-money laundering legislation. On our verification page we set out our verification processes.
In order to assess the money laundering, terrorist financing and sanctions risks on an ongoing basis, bit4coin has implemented strict customer monitoring. Automated and manual monitoring of transactions takes place in the operational processes.
Event-driven reviews (such as sanction hits, country checks and volume limits) are applied for orders and transactions, at which stage customers may need to provide additional verification or perform enhanced due diligence. Additionally, bit4coin performs periodic monitoring (over the entire lifecycle of the relationship) of the customer or partner. Ongoing monitoring is performed for all customer transactions, which may result in event-driven reviews.
Reporting to the Financial Intelligence Unit
bit4coin monitors transactions and in the case of unusual (intended) transactions/activity these will be reported to Financial Intellligence Unit-The Netherlands (FIU-NL) when the unusual nature of the transaction/activity has been signalled without delay.
Sanctions circumvention and embargo monitoring
European regulations prohibit firms from cooperating in the transportation of embargo goods to sanctioned countries, for example by facilitating a transaction or providing a financial service. bit4coin continuously monitors and rejects transactions entered into with individuals on sanctions list.
Ethical business operations and corporate culture
bit4coin has defined the following four basic principles with regard to the integrity of its customers:
- bit4coin does not enter into a relationship with customers or partners that are involved in or suspected of unethical or illegal activities such as fraud, money laundering, or terrorist financing
- bit4coin rigorously protects its organisation against abuse by third parties (i.e. use of the bit4coin services for other reasons than the bit4coin services are actually provided for). If abuse is suspected, a business relationship will not be entered into. Any existing relationships with concerned partners or customers will be terminated
- bit4coin rejects customers if the identity and/or the origin of the funds used for the transaction are unclear
- bit4coin does not enter into a relationship with customers or partners that intentionally provide an incorrect identity and/or intentionally provide other incorrect or misleading information.
Issues relating to fraud and enquiries by authorities can be emailed to: firstname.lastname@example.org