Colombia requires reporting transactions with cryptocurrencies

The Financial Information and Analysis Unit (UIAF) of Colombia requires reporting transactions with cryptocurrencies, the reports will be effective as of April 1.

People who carry out transactions with cryptocurrencies such as Bitcoin must report them to the Financial Information and Analysis Unit (UIAF) of Colombia.

This new regulation is to prevent operations that are used with illicit fines such as money laundering and financing of terrorism, according to NoticiasRCN.

The reports must be made whenever the individual operations exceed USD $150 or USD $450 in the case of multiple transactions.

To report transactions with cryptocurrencies, persons must register in the Online Reporting System (Sirel), through the Uiaf website (www.uiaf.gov.co), where you can request a code and username.

The agency informs that companies that operate with digital currencies, exchanges or P2P platforms, must also report their transactions in the Online Reporting System (Sirel).

These exchanges must send Suspicious Transaction Reports (STRs) to the UIAF, as established in the regulations. The sending of the STRs must be done through the Sirel of the Uiaf.

Regulation for cryptocurrencies

The authorities are regularly looking for some more of these types of transactions. Cryptocurrency transactions are not illegal in Colombia.

“Virtual assets have created a situation that merits the intervention of the UIAF, to the extent that, although they are operations that in Colombia are not illegal by themselves, they can lend themselves to illicit activities, due to the anonymity or pseudonymity in the transactions. transactions, the absence of support from the central bank and the non-recognition as an instrument that has liberating power”, says the Uiaf.

Finally, non-compliance with the regulations will give rise to the respective fine or sanction contemplated by the Superintendency of Companies.

Recently, the Directorate of National Taxes and Customs of Colombia, better known as the DIAN, set substantial fines for two residents of the country after having carried out operations in 2019 through the LocalBitcoins P2P service, which were not duly reported in the corresponding reports for payment. of taxes.

The information on the transactions was provided to the tax authority thanks to a joint work with the Finnish regulators.