Политика по борьбе с отмыванием денег

Valid from October 1, 2021

1. Introduction

1.1. Having regard for the safety of the Users and due to the legal requirements of European Union, United States of the America and other countries, Totalcoin has implemented Anti-Money Laundering (AML) and Know Your Customer (KYC) Policy (hereinafter - the “Policy”).

1.2. International regulations require Totalcoin to implement effective internal procedures and mechanisms to prevent money laundering, terrorist financing, drug and human trafficking and/or other illegal activity as applicable, and to take action in case of any form of suspicious activity from its Users.

1.3. The purpose of those Policy is an effective combating of money-laundering and terrorist financing by proper identification of Totalcoin’s Users and supervision of their transactions. Totalcoin shall identify and cease transactions made not only to purchase/sell cryptocurrency, but made mainly to hide criminal origin of money, finance illegal activity or other unlawful behaviour.

1.4. Specific provisions of this Policy are confidential and for internal use only, in order to prevent its avoidance by dishonest or fraudulent Users. We would like to introduce to you some of general rules and stipulations of our policies which directly concern you and affect our services we render.

2. Objectives

2.1. Objectives of this Policy include the following:

Comply with all AML rules & regulations of the jurisdictions Totalcoin operates in;
Establish procedures for customer identification and retain necessary identification and transactional information;
Introduce Totalcoin’s Compliance Officer, responsible to coordinate compliance with this Policy;
Introduce requirements to all Totalcoin’s employees to prevent, detect and report to the Compliance Officer all potential instances in which Totalcoin’s or its employees, facilities or activities have been or are about to be used for money laundering, terrorist financing and other illegal activity;
Establish suspicious activity reporting procedures and document retention guidelines for any suspicious activity reports and supporting documentation.

3. Definition of money laundering and financing of terrorism

3.1. Money laundering involves the placement of illegally obtained money into legitimate financial systems so that monetary proceeds derived from criminal activity are transformed into funds with an apparently legal source.

3.2. With respect to entities, any involvement, whether it be to instigate, assist, conceal, or ignore the source, nature, location, ownership or control of money laundering activities, can lead to both civil and criminal proceedings against both the individual and the entity involved.

3.3. Money laundering transactions may include but not limited to:

Engaging in any activity while willfully or recklessly disregarding the source of the funds or the nature of the Clients transaction;
Engaging in any activity designed to hide the nature, location, source, ownership or control of proceeds of criminal activity;
Dealing in funds to facilitate criminal activity; or
Dealing in the proceeds of criminal activity.

4. Compliance Officer

4.1. The compliance officer is the person, duly authorized by Totalcoin, whose duty is to ensure the effective implementation and enforcement of this Policy. It is the Compliance Officer’s responsibility to supervise all aspects of Totalcoin’s anti-money laundering and counterterrorist financing measures, including but not limited to:

Collecting Users’ identification information;
Establishing and updating internal policies and procedures for the completion, review, submission and retention of all reports and records required under the applicable laws and regulations;
Monitoring transactions and investigating any significant deviations from normal activity;
Implementing a records management system for appropriate storage and retrieval of documents, files, forms and logs;
Updating risk assessment regularly;
Providing law enforcement with information as required under the applicable laws and regulations.
The Compliance Officer is entitled to interact with law enforcement, which are involved in prevention of money laundering, terrorist financing and other illegal activity.

5. Procedures

5.1. User’s Identification

5.1.1. In the first place we are obliged to identify, beyond a reasonable doubt, identity of persons enabled to do transactions on Totalcoin. This is the reason why we collects scans of national ID, international passport, bank statement, utility bill (as applicable), which authenticity is verified with special software of professional external providers.

5.1.2. We require sending “selfie” or your recording with ID document in order to preclude possibility of using your documents by someone else. Verification of your likeness to the photo from your ID is made with use of special software of professional external providers or, in case of doubts, done manually by our customer support services.

5.1.3. In case of any doubts our customer support team and/or Compliance Officer will contact you to explain any concerns and solve the issues that arose.

5.1.4. If we cannot determine, beyond a reasonable doubt, that the documents you provided belong to you and are the authentic we won’t be able to let you to execute any transactions.

5.1.5. Totalcoin reserves the right to investigate certain Users who have been determined to be risky or suspicious. Totalcoin reserves the right to verify User’s identity in an on-going basis, especially when their identification information has been changed or their activity seemed to be suspicious (unusual for the particular User).

5.1.6. In addition, Totalcoin reserves the right to request up-to-date documents from the Users, even though they have passed identity verification in the past.

5.1.7. User’s identification information will be collected, stored, shared and protected strictly in accordance with the Totalcoin’s Privacy Policy and related regulations. Once the User’s identity has been verified, Totalcoin is able to remove itself from potential legal liability in a situation where its services are used to conduct illegal activity.

5.2. Customer Due Diligence

5.2.1.Totalcoin adopts all the procedures necessary in order to be able to determine the true identity of its Users (Customer Due Diligence or CDD).

5.2.2. According to CDD, Totalcoin establishes its own verification procedures within the standards of anti-money laundering and “Know Your Customer” frameworks, including enhanced due diligence for customers presenting a higher risk, such as Politically Exposed Persons (PEPs).

5.2.3. Within the ambit of Customer Due Diligence process, Totalcoin must, necessarily, evaluate:

the purpose and nature of the clients business in trading activities;
expected transaction profile;
the customer’s income sources;
the coherence and consistency of the existing information.

Customer Due Diligence principles are applied not only to the customers’ identification procedures but also to the detection, monitoring and follow-up of the transactions that do not confirm to their transactions profile.

5.3. Enhanced Due Diligence

5.3.1. When User’s trade volume rises, our AML/CTF verification duties increase as well. The same happens when your transactions are “flagged” as suspicious or unusual, or our verification of your person results in qualifying you as a person imposing significant AML/CTF risk.

5.3.2. In such a cases we will carry out Enhanced Due Diligence procedures and require additional documentation proving your real, exact place of residence, education, occupation, as well as the source of money you are using on the exchange.

5.3.3. Unfortunately, if our AML specialists decide information received from you don’t clarify our doubts, we will obliged to end our cooperation with you or even report your transactions to relevant authorities.

5.4. Verification levels

Currently our KYC/AML verification levels are as follows:

1) Provide your full name and e-mail;
2) Provide a photocopy of your passport or ID card;
3) Provide a video with your face, the spread of your passport or ID card;
4) Follow the link from the phone screen to complete the verification;
5) Additional verification data may be requested.

6. Transactions’ monitoring and supervision

6.1. Using our proprietary software we also analyse all transactions that take place on Totalcoin looking for suspicious and unusual behaviours. Such selected transactions are analysed by our AML specialists and evaluated if they do not provide significant AML/CTF risks or if they needed to be ceased and clarified with the User.

6.2. The objective of the implemented control system is to protect Totalcoin from the several risks it faces and enable an ongoing monitoring of the execution of the transactions, assuring their compliance with all legal requirements, the pre-defined internal procedures, taking into consideration the profile of the User in question. This control system will enable Totalcoin to detect transactions that show relevant signs or suspicious features in terms of AML/CTF.

6.3. Totalcoin adopted and implemented several IT devices that enable it to, in an automatic manner, control and monitor Users and transactions.

6.4. The monitoring and control activities include, but are not limited to, the following practices:

Monitoring and control of high AML risk customers and transactions;
Monitoring and control of transactions involving high AML risk countries;
Monitoring and control of complex and/or extraordinary transactions;
Continuous monitoring of the consistency between the transactions and the information collected on the activities pursued by the customer, risk profile and his/her/its financial assets. These activities not only involve extraordinary transactions (daily alerts) but also the assessment of the customer’s profile in terms of time relating to the number of transactions made and the average of amounts involved (monthly alerts);
Control, by computerized means, of transactions that exceed a pre-determined amount (as per the customer’s risk level) and assessment to verify if the same are consistent with the customer’s profile;
Monitoring and control of related extraordinary transactions that, together, exceed the required legal limit for the identification of the customer;
Monitoring and control of transactions involving entities subject to the different sanctions and embargos that appear in the lists of suspicious entities issued by the United Nations, European Union and the Office of Foreign Assets Control (to control the compliance with those restrictions issued internationally) and also in Internal Lists, preventing/restricting transactions or forcing the making of an Enhanced Due Diligence. Within this scope, the financial institution defines real time performance priorities, in accordance with the motive that determined the “filtering” of the operation;
Control on the conclusion and updating of the information and documents of the User that must be kept in paper or in the computer system, plus all additional information that will have to be included in electronic transfers of funds.

6.5. Regardless of the above-mentioned criteria, of the AML/CTF risk level of the User, the country involved in the transaction or the transaction’s complexity or dangerous nature, Totalcoin must pay a special attention to all conducts and/or activities whose features may aggravate the risk or possibility of being related with the crimes of money laundering and terrorism financing and must collect information and document evidence on the conformity and economic rationale of the transactions analysed.

6.6. The monitoring and control activities are exercised by the Compliance Officer who has access to any type of information of Totalcoin.

7. General AML/CTF Rules

Our operating rules include inter alia as follows:

Totalcoin does not accept cash deposits or cash withdrawals in any cases.
Totalcoin does not accept any third parties’ deposits on User account, managing the account on behalf of somebody, joint or shared accounts, etc.
Totalcoin does not allow any exceptions in the field of documentation required from Users.
Totalcoin reserves the right to refuse to process the User’s transaction at any time, in case of suspicion of AML/CTF risk.
In accordance with the international law we are not obliged (or even forbidden) to inform our Users, if we report their behaviours as suspicious to relevant authorities.

8. Reporting

8.1. If there is a grounded suspicion that a User or a potential customer is using or intends to use Totalcoin to launder funds coming from an unlawful activity or to finance terrorism, Totalcoin will take all the steps necessary to assure the full observance of all the relevant legal requirements in force.

8.2. Totalcoin’s internal regulations define the procedures to be adopted by in case of the detection of transactions or activities considered suspicious. The employees of Totalcoin shall always report these transactions or activities to the Compliance Officer, which is responsible for more profoundly analysing and assessing them.

8.3. Compliance Office shall assess the processes analysed and decide on the existence of grounds for the reporting of possible suspicious transactions.

8.4. The transactions deemed suspicious are reported to the competent authorities of each jurisdiction where the Totalcoin operates (in accordance with the specific legal framework).

8.5. Totalcoin maintains a relation of total cooperation with the competent authorities of each jurisdiction, assuring to all the access to the information they deem necessary and presenting to them all the requested documents.

9. Restricted countries

9.1. Totalcoin is not available in the following countries and territories: European Union, United States, United Kingdom, Australia, Canada, New Zealand, Albania, Iceland, Norway, North Macedonia, Switzerland, Andorra, Liechtenstein, Luxembourg, Monaco, San Marino, China, Hong Kong, Macao, Taiwan, South Korea, Japan, Singapore, North Korea, Iran, Afghanistan, Myanmar, Cuba, Syria, Yemen, Central African Republic, Democratic Republic of Congo, Haiti, Libya, Mali, Somalia, South Sudan, Sudan, Antigua and Barbuda, Bahamas, Barbados, Dominica, Dominican Republic, Grenada, Jamaica, St Kitts and Nevis, St Lucia, St Vincent Grenadines, Trinidad and Tobago, Federated States of Micronesia, Fiji, Kiribati, Marshall Islands, Nauru, Palau, Papua New Guinea, Samoa, Solomon Islands, Tonga, Tuvalu, Vanuatu, Kyrgyzstan, Tajikistan, Uzbekistan.

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