Anti-Money Laundering (AML) and Counter-Terrorist Financing (CTF) Policy
At Xago, compliance and security are foundational to how we operate. We are committed to maintaining the applicable legal and regulatory requirements to help safeguard client information and transactions for cross-border settlements and digital asset management.
1. Regulatory Framework & Authorisations
Xago builds compliance directly into its infrastructure rather than treating it as an afterthought.
Regulated Operations: Xago operates under strict regulatory oversight, holding authorisations and registrations across multiple jurisdictions, including South Africa (as an Authorised Financial Services Provider, FSP no. 53416, and accountable institution under FICA), Botswana (as a Virtual Asset Service Provider, licence no: 11/1/5-005), and Australia (registered with AUSTRAC as a Digital Currency Exchange).
Transparent Oversight: Transactions leverage blockchain infrastructure, providing verifiable records that support transaction tracing, reconciliation and audit processes.
2. Client Verification: KYC, KYB & Onboarding
To comply with global regulatory standards and prevent illicit financial activity, identity verification is conducted on all individual and corporate business clients before they may execute financial transactions.
Individuals (KYC): Sign up and complete Know Your Customer (KYC) verification by submitting required identification documents.
Businesses (KYB): Corporate clients must complete Know Your Business (KYB) checks, including documentation verifying Ultimate Beneficial Ownership (UBO) and company details.
Account Security: Two-Factor Authentication (2FA) is required across the platform for account access, beneficiary management and transaction execution.
3. AML, ATF and Risk Management Protocols
Xago implements robust, risk-based systems to detect, prevent and report financial crimes.
Screening & Monitoring: We maintain real-time transaction monitoring, Politically Exposed Persons (PEP) checks, and ongoing sanctions screening.
Enhanced Due Diligence (EDD): Additional verification measures and Source of Funds (SOF) checks are applied where required.
Suspicious Activity Reporting: In accordance with regulatory obligations, Xago maintains strict internal procedures for identifying and reporting suspicious or unusual transactions (Anti-Money Laundering and Counter-Terrorist Financing - AML/ATF) to relevant authorities.
Third-Party Deposit Restrictions: All fiat and crypto deposits must originate directly from the account holder's profile. Third-party deposits or unverified sources are strictly prohibited.
4. Staying Safe in the Digital Asset Space
Protect Your Credentials: Keep your private keys, passwords and 2FA recovery codes secure. Xago will never ask for your password or private keys.
Beware of Scams: Exercise caution regarding unsolicited communications, phishing attempts or schemes promising unrealistic returns. Always verify official Xago communication channels.
For compliance enquiries or assistance with onboarding requirements, please contact our team at compliance@xago.io.