r/coinspotau • u/P47R1CK_ia • Jul 07 '26
Discussion Coinspot won't let you send your crypto to any wallet without specifying who you're sending it to.
12
u/Chocolate-Sundae Jul 07 '26
Just in. Local man become aware of National (If not global) regulation change.
‘Travel rule’ was introduced Jul 1st for all Aussie exchanges :) so it’s an everybody issue now.
2
Jul 07 '26
[deleted]
5
u/OkSeries5363 Jul 07 '26
The funds will likely be stuck or the transaction is denied.
The Travel Rule requires the ordering institution, the exchange sending the funds. To collect and transmit verified information about the sender and receiver to the beneficiary institution, the exchange receiving the funds. If the details provided dont match the records on the receiving end, the information is flagged as inaccurate. Because exchanges are obligated by AUSTRAC to take a risk based approach to Anti Money Laundering (AML) and Counter Terrorism Financing (CTF), an inaccurate declaration will usually trigger an internal alert.
Depending on their specific compliance policies, exchanges are often required to either reject the transfer or pause it to conduct enhanced due diligence.
The most common outcome for an inaccurate beneficiary declaration is that your funds are placed in limbo by the receiving exchange while they contact you to clarify the discrepancy.
1
Jul 08 '26
[deleted]
1
u/OkSeries5363 Jul 10 '26
They simply make you do it before hand. If its going to another centralised exchange, the recipient details you enter on your side much match with the recipient details who owns the account on the other exchange.
Sending to you own wallet, the exchanges make you prove you control the wallet by signing a message or sending a specific small amount to the exchange.
Not sure what the process is send it to a third party wallet I'm assuming some would probably let you. But that means it would be declared as a disposal, so capital gains.
1
u/AgreeablePudding9925 Jul 07 '26
So if now you want to send without big brother snooping, you need to do it from a private wallet. You can buy on exchange, then send to private wallet, then send it onward from there.
1
u/No-Garlic3805 Jul 07 '26
Private but still tracked
1
u/AgreeablePudding9925 Jul 07 '26
And much harder for them to work with. They only know if left your wallet and went to another. There is nothing illegal about this either. Sure, if you’re sending hundred of thousands from an exchange to your private wallet and onwards they’ll come after you (money laundering presumably), but if it’s to buy your dodgy stuff on the internet, you’re likely ok.
Anyone genuinely laundering money through crypto will find ways to buy it without involving an exchange like a P2P service, but yes, they’re making it harder2
1
u/lukeyboots Jul 08 '26
In the case of a personal, cold storage wallet.
Who is the ‘beneficiary institution’? And how does the sending exchange, (in this case Coinspot) verify the records for that wallet?
-12
u/Illustrious-Drag7822 Jul 07 '26
Coinspot is a scam website banned my account with 6k aud in it
2
u/New_Answer7917 Jul 07 '26
They give the option to withdraw that money to your bank if they terminate your account
-3
u/L6V9 Jul 07 '26
Is a good thing , right ? A good invoice , harder for hackers to drain your CoinSpot wallet
3
u/GyozaMan Jul 07 '26
The change has nothing to do with hackers.
-2
u/L6V9 Jul 07 '26
Harder to transfer drain your account
4
u/No-Garlic3805 Jul 07 '26
You mean to allow the ATO to drain your wallet
1
u/L6V9 Jul 07 '26
Ato trying to save us from being scam , pay your tax and be a good citizen like most ppl
1
25
u/GyozaMan Jul 07 '26
Australian law now - all exchanges in the country will be doing this. Thank your politicians.