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Wwft
In short
Paucitas is an independent expert firm in the Netherlands that investigates investment fraud and crypto fraud, establishes the origin and legitimacy of crypto assets and prepares expert reports for legal proceedings and compliance.
What does this mean if you hold crypto?
Under this act, banks, notaries, accountants, tax advisers, estate agents, crypto service providers and other institutions must know their clients, check the origin of money and report unusual transactions to FIU-Nederland. In the UK, the comparable rules are the Money Laundering Regulations 2017 and the Proceeds of Crime Act 2002, under which suspicious activity is reported to the National Crime Agency.
If you have sold crypto and want to move the money to a bank account, or are buying a home with money from crypto, the bank or conveyancing solicitor can ask where that money comes from: in the Netherlands under the Wwft, in the UK under the Money Laundering Regulations 2017. That is not an accusation but a legal duty. If you cannot show the origin properly, the institution may decline to carry out the transaction.
More about Wwft
What is the Wwft?
The Wwft is the Dutch Anti-Money Laundering and Anti-Terrorist Financing Act. Among other things, the act requires banks, notaries, accountants and crypto service providers to carry out customer due diligence, check the origin of money and report unusual transactions to FIU-Nederland. The UK has its own rules: the Money Laundering Regulations 2017, with suspicious activity reported to the UK Financial Intelligence Unit at the National Crime Agency.
Why does my bank ask about the origin of my crypto?
Under the Wwft in the Netherlands, and the Money Laundering Regulations 2017 in the UK, your bank must know where money comes from, especially with larger amounts or money from crypto. The bank then asks for documents showing how you acquired and sold the crypto. That is a legal duty of the bank, not a judgement about you.
Do crypto service providers fall under the Wwft?
Yes. Providers of crypto services in the Netherlands must identify their clients, carry out customer due diligence and report unusual transactions. In the UK, cryptoasset exchange providers and custodian wallet providers fall under the Money Laundering Regulations 2017 and must be registered with the FCA.
How does Paucitas help with a Wwft question about crypto?
Paucitas links your crypto assets to the blockchain and to your own documents, such as statements from exchanges and bank accounts. This produces a report that shows step by step where the money comes from, in plain language, so that the bank or solicitor can assess it. Paucitas does not give legal or tax advice.
Would you like to know what this means for your own situation? Paucitas will look at it with you, free of obligation: ring us on +31 20 244 5774, day or night, or get in touch.
Your own situation
If you are reading this, you probably have a question about your own situation. That is exactly what Paucitas does.
The first step is contact by phone. You can book that call by phone or through the contact form, so you do not have to wait. In the call we look together at what can factually be established in your case and what Paucitas can examine for you.