This policy (this Policy) sets out the know-your-client (KYC) (commonly also known as customer due diligence) and anti-money laundering requirements for the provision of the electronics derivatives exchange platform, FastEx (the Services) by companies in the Fasttoken (BVI) Inc group (Fasttoken, we, us or our). This Policy shall apply to all third-party account holders who wish to utilise the Services.
Please read the following carefully to understand our requirements for the use of our Services. In order to deposit or withdraw any funds from your wallet or account, you must provide the required KYC to a standard which is satisfactory to Fasttoken (and/or our duly appointed agents, representatives or nominees). Failure to provide KYC to the satisfaction of Fasttoken will result in you being unable to access the Services. Fasttoken has retained the services of third-party providers to collate and assess KYC, and such providers may have requirements in excess of this Policy in order to approve your use of the Services.
Fasttoken is committed to: (i) ensuring that the Services are not used in association with any money laundering, terror financing, evading of sanctions or otherwise to facilitate criminal activity; and (ii) complying with relevant and applicable anti-money laundering and terrorist financing rules and regulations. This Policy reflects this risk-based approach and, in particular, tracks, as closely as practicable, the requirements of the BVI Anti-Money Laundering and Terrorist Code of Practice 2008 (as amended from time to time), notwithstanding that Fasttoken currently falls outside the scope of this regulation.
- Jurisdictional and Sanction Restrictions
Users of the Services are obliged to represent and warrant to Fasttoken (and to certain other persons) that they are not Restricted Persons. The Services are not being offered to any Restricted Persons and Restricted Persons are strictly prohibited from utilising the Services.
A Restricted Person means any person that is, or any person utilising the Services on behalf of: (i) a U.S. Person; (ii) a resident of the People’s Republic of China; (iii) a resident of Canada; (iv) a citizen, resident (tax or otherwise) of, or a person located or domiciled in any Restricted Jurisdiction (other than the People’s Republic of China or Canada) or any entity, including without limitation, any corporation, partnership, trust or unincorporated entity, created or organized in or under the laws of any Restricted Jurisdiction; (v) any person who is the subject of economic or financial sanctions or trade embargoes administered or enforced from time to time by (a) the U.S. government, including those administered by the Office of Foreign Assets Control (OFAC) or the U.S. Department of State or (b) the United Nations Security Council, the European Union or Her Majesty’s Treasury of the United Kingdom; or (c) any other relevant sanctions authority (Sanctions) or is organized or resident in a country or territory that is the subject of country-wide or territory-wide Sanctions; or (vi) a person under the age of 18 years.
A Restricted Jurisdiction means: (i) the United States (being the United States of America (including the states and District of Columbia) and any of its territories, possessions and other areas subject to its jurisdiction; (ii) the British Virgin Islands; (iii) the Cayman Islands; (iv) any country on the Financial Action Task Force (FATF) call for action list; (v) any country on the EU money laundering or non-cooperative tax lists; and (vi) any jurisdiction for which Services, or any offer or solicitation in respect of the Services by Fasttoken, would require registration or licensing not obtained by Fasttoken or otherwise would be unlawful. Further, users of Services from certain jurisdictions, at the discretion of Fasttoken, may be required to provide a completed and executed representation letter, certifying that they are an ‘accredited investor’ or similar concept under relevant regulatory regimes.
A U.S. Person means (i) a U.S. citizen, U.S. lawful permanent resident, individual who meets the “substantial presence” test described in section 7701(b)(3) of the U.S. Internal Revenue Code of 1986 (as amended), protected individual under section 1324b(a)(3) of the U.S. Immigration and Nationality Act, or individual who holds a passport issued by the United States government; (ii) a corporation, partnership, or other entity established or organized in or under the laws of the United States; (iii) any estate of a decedent who was a citizen or a resident of the United States or which any executor or administrator is a U.S. Person; (iv) any trust if (a) (i) a court within the United States is able to exercise primary supervision over the administration of the trust, and (ii)) one or more United States Persons have the authority to control all substantial decisions of the trust or (b) any trustee is a U.S. Person; (v) any entity organized or incorporated outside the United States in which any of the foregoing, whether singularly or in the aggregate, directly or indirectly holds a 50 percent or greater equity interest by votes or value, holds a majority of seats or memberships on the board of directors of the entity, or authorizes, establishes, directs, or otherwise controls the actions, policies, personnel decisions, or day-to-day operations of the entity; (vi) any pension plan for the employees, officers or principals of a legal entity described in clause (ii), unless the pension plan is primarily for foreign employees of such entity; (vii) any agency or branch of a foreign entity located in the United States; (viii) any non-discretionary account or similar account (other than an estate or trust) held by a dealer or other fiduciary for the benefit or account of a U.S. Person; (ix) any discretionary account or similar account (other than an estate or trust) held by a dealer or other fiduciary organized, incorporated, or (if an individual) resident in the United States; and (x) any partnership or corporation if: (A) organized or incorporated under the laws of any jurisdiction outside of the United States and (B) formed by a U.S. person principally for the purpose of investing in securities not registered under the Securities Act, unless it is organised or incorporated, and owned, by accredited investors (as defined in the Securities Act) who are not natural persons, estates or trusts. U.S. Person status is determined by beneficial as well as record ownership.
- Required Documents
Users will be required to submit documents for verification prior to being permitted to access the Services. The type of documents requested will depend on the type of applicant and will be subject to the sole discretion of Fasttoken and its third-party service providers but will, in the most part, follow the guidelines below.
All copy documents provided pursuant to this Policy must be valid, current, clear and legible. Where a document is in a foreign language, it must be translated into English by a suitably qualified translator. The translator should sign the document to confirm the accuracy of the translation and their credentials.
In addition to the below, Fasttoken and its third-party service providers may carry out checks through risk databases, wallet analysis services and IP tracing services. Where carried out, the results of which must be to the satisfaction of Fasttoken (and/or our duly appointed agents, representatives or nominees) in order for your obligations under this Policy to be satisfied and for you to be able to access the Services.
Individuals will be required to provide the following information:
- a copy of the individual’s passport, national identity document or other government-issued and photo-bearing driving licence;
- documentary evidence of the individuals’ permanent residential address (such as a bank or credit card statement or utility bill), dated within the last three months (where a P.O. box forms part of such address, the complete address should be evidenced);
- details of their email address and telephone number; and
- in certain cases, verification of the source of funds used to acquire cryptocurrencies deposited in the wallet. For example, but not limited to payslips, bank statements, tax declarations etc.
Companies will be required to provide the following information:
- a copy of the entity’s certificate of incorporation or equivalent formation document;
- a copy of the memorandum and articles of association or by-laws of the entity or its equivalent governing constitution;
- where the company is regulated, details of the regulatory regime and regulator;
- a description of the company’s activities and, in certain cases, verification of the source of funds used to acquire funds deposited (in fiat or crypto); and
- satisfactory evidence of identity for each underlying beneficial owner of the company who owns, controls or is otherwise entitled to, directly or indirectly, at least 10 per cent of the entity and at least two directors (or one, where there is a sole director only) of the company (as set out in ‘individuals’ above).
Partnerships and unincorporated entities
Partnerships and unincorporated entities will be required to provide:
- a copy of the certificate of registration, where registered, and the partnership agreement or articles of partnership or other constitutional documents or agreements;
- a description of the entity’s activities and, in certain cases, verification of the source of funds used to acquire cryptocurrencies deposited in the wallet; and
- satisfactory evidence of identity for each underlying beneficial owners of the entity who owns or otherwise is entitled at least 10 per cent of the entity and any partner or other controlling officer relevant to the use of the Services (as set out in ‘individuals’ above).
Trustees acting on behalf of a trust will be required to provide:
- confirmation of the type of trust, the nature and place of the activities of the trust and, in certain cases, verification of the source of funds used to acquire cryptocurrencies deposited in the wallet; and
- satisfactory evidence of identity for each of the settlor, trustees or protector of the trust and, where Fasttoken, in its sole discretion, determines that the trust presents other than a low level of risk, the beneficiaries of the trust (as set out in ‘individuals’ above).
- Standards of due diligence
Reduced due diligence
Fasttoken may, at its sole discretion, choose to waive certain KYC requirements applicable to any user where the amount to be deposited or withdrawn through the Services is less than USD 1,000, or the equivalent in any fiat or cryptocurrency, unless: (i) Fasttoken has reasonable grounds for believing (whether at the commencement of Services or subsequently) that the user’s account is linked to one or more other accounts, the aggregate amount of which would equal or exceed USD 1,000 (or its equivalent); (ii) Fasttoken or any person handling the user on behalf of Fasttoken knows or suspects that the use of the Service involves money laundering; or (iii) Fasttoken otherwise deems the user to be of higher risk.
Fasttoken may further, at its discretion, choose to waive certain KYC requirements for other applicants where permitted to do so pursuant to applicable laws and regulations.
Such waivers are subject to the sole discretion of Fasttoken.
Enhanced due diligence
Fasttoken may, at its sole discretion, enhance its KYC requirements where it feels it necessary or desirable to do so. In particular, such enhanced due diligence may be required where a user is identified as:
- an individual who is or has been entrusted with prominent public functions and members of his or her immediate family, or persons who are known to be close associates of such individuals (being ‘politically exposed persons’);
- involved in a business activity, or having an ownership structure, or depositing or withdrawing such volume of cryptocurrencies, in each case that is complex or unusual, having regard to the risk profile of the user or where the entity exhibits an unusual pattern of transactions or does not demonstrate any apparent or visible economic or lawful purpose;
- a user who is depositing greater than $15,000 or the equivalent in a different currency; or
- located in a country that is either considered or identified as a high-risk country (see below) or that has international sanctions, embargos or other restrictions imposed on it.
Fasttoken has the discretion to request certified copies of any documents to be provided under this Policy. Fasttoken will request such certified copies if it considers that the non-certified copies provided may not be authentic, may be doubtful or generally has concerns regarding the non-certified copies or the user.
In addition to requesting certified documents, Fasttoken or its third-party service providers are entitled to require additional verification, including: (i) video verification; (ii) contacting you by telephone at a business line or verified residential line; (iii) requiring reference letters or other additional documents; (iv) confirming residential address through a pick-up of any application form via courier from; and/or (v) requiring a face-to-face meeting.
Such enhancements are subject to the sole discretion of Fasttoken.
High risk countries mean countries which are:
- subject to Sanctions, embargoes or similar measures or have otherwise been identified by regulatory bodies to which Fasttoken is subject as being high risk;
- identified as providing funding or support for terrorist activities or that have designated terrorist organisations operating within them;
- identified as having significant levels of organised crime, corruption or other criminal activity, including source or transit countries for illegal drugs, human trafficking, smuggling and illegal gambling; and
- identified as having weak governance, law enforcement and regulatory regimes including countries identified by the FATF and EU statements as having weak anti-money laundering and/or counter terrorist financing regimes, especially for virtual asset service providers (VASPs) and for which VASPs and other obliged entities should give special attention to business relationships and transactions.
- Contact and responsible person
If you would like to contact us regarding this Policy, please send us an email to [email protected]. To ensure your query is dealt with as swiftly as possible, please include as the subject or heading line “KYC Policy”.
Fasttoken has appointed a compliance officer whose duty it is to ensure effective implementation and enforcement of this Policy.
- Privacy Notice
Any information collected by Fasttoken pursuant to this Policy will be retained in accordance with our privacy and data protection notice as provided by or on the behalf of Fasttoken from time to time.
- Updates to information
It is important that any personal information held by us or our third-party service providers about you is accurate and current. Where the information provided by you to us pursuant to this Policy becomes out-dated between the date provided and the date on which you cease to utilise the Services, or the information provided otherwise proves to be incorrect, you agree to notify Fasttoken as soon as possible and provide updated or corrected information. Fasttoken further reserves the right to refresh the information held on you, at its sole discretion, prior to the use of any of the Services.
- Other services
This Policy applies to use of the Services. Additional KYC may be required to participate or utilise services offered by Fasttoken and your ability to participate or utilise such services may be subject to you providing such additional documents or assurances.
- Right to refuse or cancel and obligations to report
It is further noted that Fasttoken will be under an obligation, pursuant to applicable laws and regulations, to report to the relevant authorities any transactions where it knows, or suspects, or has reasonable grounds for knowing or suspecting, that another person is engaged in money laundering.
- Changes to this Policy
We may update this Policy from time to time and we encourage you to periodically review this Policy.