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Coaf disables Cryptocurrency exchanges’ access to Siscoaf
Virtual asset service providers (PSAVs) had previously been authorized to directly use the system to report suspicious transactions on an experimental basis
Subjects
On September 5, 2022, Brazil’s Council for Financial Activities Control (Coaf) discontinued virtual asset service providers’ experimental access to the Financial Activities Control System (Siscoaf). According to Coaf’s statement published on August 30, PSAVs had been given temporary access to use the Siscoaf to report suspicious money laundering and terrorist financing transactions while their inclusion on a list in Article 9 of Law No. 9,613/1998 (Money Laundering Prevention Law) was still under discussion.
Coaf’s position makes reference to the latest draft of Bill No. 4,401/2021 – the Regulatory Framework for Cryptocurrencies in Brazil – which is currently awaiting approval in the House of Representatives. Although the bill’s original wording would have established mandatory reporting for PSAVs, the provision was removed after the text was amended in the House of Representatives.
In a statement published on September 1, Coaf clarified that communications in general may still be forwarded to the agency through the Fala.BR platform (available in Portuguese), irrespective of their access to Siscoaf.
For further information on this topic, please contact Mattos Filho’s Compliance & Corporate Ethics practice area.
