Global cryptocurrency exchange KuCoin has officially registered with the Australian Transaction Reports and Analysis Centre (AUSTRAC) as a Digital Currency Exchange (DCE), a crucial step allowing the platform to legally offer its services under formal regulatory oversight in Australia.
The move comes as Australian financial regulators, notably the Australian Securities and Investments Commission (ASIC), intensify their scrutiny of offshore crypto platforms. ASIC has recently emphasized that many digital assets, including stablecoins and tokenized products, may already fall under the scope of the Corporations Act, requiring relevant firms to obtain licensing to operate.
KuCoin’s DCE registration is a mandatory legal requirement for any firm providing digital currency exchange services in the country, demonstrating the exchange’s push to align with Australia’s rigorous anti-money laundering and counter-terrorism financing (AML/CTF) standards.
Regulated Products and Fiat On-Ramps
To support its expansion into the tightening regulatory environment, KuCoin announced two major strategic developments:
- Regulated Derivatives: KuCoin is partnering with Echuca Trading, a financial services provider licensed by ASIC, to offer its crypto futures products within a regulated framework tailored for Australian users. This partnership aims to provide local users with compliant access to crypto derivatives.
- Enhanced Fiat Access: The exchange has rolled out new fiat on-ramp support, making it simpler for Australian users to deposit local currency (AUD) and engage in crypto trading.
KuCoin stated that it plans to seek further registrations for additional designated services as it continues to build out its regulated footprint in the country.
