In Short
Australia has updated its anti-money laundering and counter-terrorism financing (AML/CTF) framework. The biggest changes for digital asset and stablecoin users have applied from 1 July 2026.
Since that date, Canvas Digital, like other Australian virtual asset service providers that provide relevant transfer services, needs to collect and share more information when you deposit or withdraw digital assets. Canvas Digital also needs to ask you to confirm control of self-hosted wallets you transact with.
This article explains what is changing, why it is changing, and what you may need to do.
Why This Is Happening
In December 2024, the Anti-Money Laundering and Counter-Terrorism Financing Amendment Act 2024 became law in Australia. It modernises Australia's AML/CTF regime, broadens it to cover a wider range of digital asset activity, and brings it into line with international standards set by the Financial Action Task Force.
The reform is administered by AUSTRAC, Australia's financial intelligence regulator. AUSTRAC has published transitional rules that set out when each new obligation takes effect.
Canvas Digital is registered with AUSTRAC and is committed to meeting these obligations. The information on this page summarises what the changes mean for customers.
Key Dates
- 31 March 2026 - most of the new AML/CTF rules took effect. The first changes you may have noticed include updates to how we collect information about customers and how we monitor transactions.
- 1 July 2026 - the Travel Rule took effect for digital asset transfers. New rules also started applying to self-hosted wallets.
- 30 March 2029 - the transition period for customer due diligence reforms ends.
Change 1 - The Travel Rule
What it is
The Travel Rule is a long-standing AUSTRAC obligation that already applies to bank transfers. It requires the institutions involved in a transfer to collect, verify and share basic sender and recipient details.
Since 1 July 2026, Canvas Digital applies the Travel Rule process to digital asset transfers in line with AUSTRAC guidance for the relevant transfer type.
When you withdraw digital assets from Canvas Digital
- We ask you for the recipient's full legal name and country of residence.
- We ask you whether the recipient is an individual, a business or another exchange.
- If you are sending to another exchange, we ask you to identify which one.
- Withdrawals may take a little longer than today while details are being verified.
- We cannot process a withdrawal if the required details cannot be validated.
When you deposit digital assets into Canvas Digital
- If the sender is another exchange or custodial provider, the required information will usually travel with the transfer and no action is needed from you in most cases.
- If the sender is a personal wallet, or the transfer arrives without the required information, we will ask you for additional details before crediting your account.
- If we cannot validate the information, we may need to delay or, in limited cases, return the transfer.
Change 2 - Self-Hosted Wallet Verification
What a self-hosted wallet is
A self-hosted wallet, sometimes called a personal wallet, private wallet or non-custodial wallet, is any digital asset wallet where you, and not an exchange or custodian, hold the private keys.
Examples include MetaMask, Ledger, Trezor, Phantom and software wallets you have set up yourself.
What is changing
Since 1 July 2026, when you deposit from or withdraw to a self-hosted wallet using Canvas Digital, we ask you to confirm that you control that wallet. This is a one-time check per wallet address.
Where a wallet-control check is required, the confirmation flow may use an in-app attestation secured by your account's existing security features, such as two-factor authentication.
We may introduce additional verification options over time. We will let you know in advance if anything changes.
Once a wallet is verified, it is saved to your account and you will not need to verify it again for that address.
For larger transfers, or transfers to or from wallets where the controller cannot be verified, we may apply additional checks consistent with our AML/CTF program.
Personal wallet vs exchange wallet
When you add a new withdrawal address, we ask you to tell us whether the address belongs to a personal wallet that you control or another exchange or custodial provider.
This helps us apply the right Travel Rule process and helps your transfers move through more quickly.
Change 3 - Broader AML/CTF Reforms
Alongside the Travel Rule and self-hosted wallet changes, AUSTRAC has updated the wider AML/CTF framework. For most customers, the changes you may notice are:
- More questions about how you use your account. We may ask about the source of your funds, the purpose of your transactions and how you intend to use Canvas Digital, particularly for higher-value activity.
- Ongoing checks. We will review customer information periodically rather than only at sign-up. From time to time we may ask you to confirm or update your details.
- Transaction monitoring. All activity on Canvas Digital is monitored to detect unusual patterns. This is not new, but the rules around how we do it have been strengthened.
- A risk-based approach. Some activity may require additional steps, for example transfers to or from higher-risk jurisdictions or transfers above certain thresholds.
What You Can Do Now
- Review the withdrawal addresses saved on your Canvas Digital account. Confirming recipient details helps your transfers process smoothly under the rules that now apply.
- Keep your account details up to date. If your name, address or contact details have changed, please update them.
- Use a verified email address. We will contact you by email if we need additional information about a deposit or withdrawal.
How We Handle Your Information
We collect, hold and share personal information in line with the Privacy Act 1988 (Cth) and our Privacy Disclosure.
When we share information under the Travel Rule, we share only what AUSTRAC requires us to share, only with the counterparty institution involved in your transfer, and only for the purpose of complying with our AML/CTF obligations. We do not use this information for marketing.
You can read our current Privacy Disclosure at canvas.co/legal/privacy-disclosure.
Need Help?
If you have a question about a specific deposit or withdrawal, contact our compliance team at compliance@canvas.co.
For background on the reforms themselves, use the official AUSTRAC guidance linked below.
Sources and further reading
This article provides general information about how Australia's AML/CTF reforms affect your use of Canvas Digital. It does not constitute legal advice.