CEX.io Bitcoin exchange: request for personal data applies only to residents of the United Kingdom

A request from the UK Revenue Service (HMRC) applies solely to residents of the United Kingdom and does not affect customers in other jurisdictions. This was reported to BlockchainJournal by representatives of the crypto exchange CEX.IO, which along with Coinbase and eToro received a corresponding letter.

“CEX.IO received a request from HMRC regarding information about tax residents of the United Kingdom who transferred money or crypto assets from 04/06/2017 to 04/05/2019," the exchange said.

The cryptocurrency exchange is asked to provide personal information about resident customers in the United Kingdom, including names and addresses, as well as dates and amounts of transactions in fiat or cryptocurrency.

“CEX.IO will make every effort to make sure that this HMRC request is justified and does not violate the right of our clients to the confidentiality of their personal data ,” added the representatives of the exchange.

The CEX also emphasized that the exchange’s legal department carefully analyzes the HMRC’s request to make sure that it’s justified and does not violate the right of clients to keep their personal data confidential.

“It is important to emphasize that the timely submission of taxes to relevant jurisdictions is everyone’s personal responsibility. For our part, we are always happy to support our users in collecting detailed information about the history of their transactions on our platform. However, they are personally responsible for the correct entry of this information in their tax returns , ”concluded the representatives of the exchange.

Note that the global trend towards tighter regulation of the cryptocurrency industry is gaining momentum. So, in June, the FATF introduced the final version of the guidelines for the cryptocurrency industry. They say that bitcoin exchanges and other cryptocurrency service providers must follow AML and CFT (counter-terrorism financing) procedures, similar to traditional financial companies.

Shortly after the release of the FATF recommendations, the requirements for bitcoin exchanges in South Korea significantly tightened. The powers of the local Financial Services Commission, which will now exercise direct control over industry companies, have also expanded.

Earlier it became known that the US Internal Revenue Service sends letters to cryptocurrency investors demanding to report on income from operations with cryptocurrency, and Israeli investors cannot pay taxes – banks refuse to accept funds received from operations with bitcoin.

Recall that in late July, the Office of Financial Regulation and Supervision of the United Kingdom published the final version of the cryptocurrency asset guide, indicating which of them fall under its jurisdiction.

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