Blockchain Technology Could Soon Be Used For Automated Reported Of Cross-Border Transactions In Australia
Blockchain technology has been implemented in many use cases over the last few years. In a new effort by the Australian Transaction Reports and Analysis Centre (Austrac), the technology is being trialed in a prototype that would allow for the automation of funds transfers. The trial is a collaboration between Austrac and the Swinburne University of Technology in Melbourne.
The blockchain technology, along with smart contract technology, will help multiple entities to report cross-border transactions to Austrac. The entities that this new option would apply to include banks, remitters, and casinos, based on a report from business tech news site ZDNet.
The current laws published in the Anti-Money Laundering and Counter-Terrorism Financing Act of Australia states that there are certain institutions and individuals that have to report details of any cross-border transfer of funds within 10 days of the activity taking place. The reporting must include the payer, sender, and beneficiary institution. By implementing this trial, reporting will become automatic and will ease a lot of pressure off of the reporting entities.
Aleksandar Subic, the deputy vice-chancellor of research and development at Swinburne, said,
“We see this technology as the key digital innovation platform supporting global supply chains, intellectual property, and trade across a range of industry sectors in the future.”
The trial has already been put into effect as of December 2018, and it is planned to run for a year. Considering the recent collaboration that Swinburne University established with the Capgemini tech firm for the Blockchain Centre of Excellence,” their network will probably be involved from the creation of production.
In March 2017, Austrac had opened an innovation center that is dedicated partially to the research of blockchain. This trial will give a substantially greater impression of what blockchain can actually do in action. Furthermore, considering the new rules implemented last spring for both AML and CTF regulations, the trial will help to show the way that all of these policies correspond with the automated reporting protocols.