JERSEY JFSC WARNING:- “Do You Trade and Receive €15,000 (incl. crypto) or more as a single or linked transaction?” If so, read on.

Do You Trade goods and receive €15,000 (equivalent to £12,500) or more in cash or virtual assets for a single transaction or linked transactions – if so, you must register with the JFSC.

• Any business trading in goods and associated services that accepts cash or virtual currency over £12,500 is required to register as a high-value dealer. It is important to note that this requirement applies to businesses that accept large sums of cash only occasionally.
• Businesses registered as high-value dealers need to apply the requirements of the Money Laundering (Jersey) Order 2008 to their transactions and activities on a risk-based approach.

REGISTER WITH THE JFSC IF YOU ARE A HIGH-VALUE DEALER.[HVD]

• Under Jersey's financial crime laws, high-value dealers are required to register with us to protect themselves and their businesses from financial crime. 
• Read more about 
1. How to register as a high-value dealer. –  https://www.jerseyfsc.org/industry/sectors/schedule-2-forms/

CONSEQUENCES OF NON-REGISTRATION

• Criminal Offence - Operating as an HVD without registration breaches Jersey’s AML/CFT laws and can result in criminal prosecution, fines, and potential imprisonment.
• Regulatory Action - The JFSC can impose civil penalties, issue public statements, and restrict business activities.

WHAT IS A HIGH-VALUE DEALER?

• A high-value dealer is a business or individual who trades in goods and receives €15,000 (equivalent to £12,500) or more in cash or virtual assets for a single transaction or linked transactions. 
• Examples of businesses that may need to register:
1. Jewellers
2. Car or yacht dealers
3. Art and antique dealers
4. Auctioneers, e.g. agricultural auctioneers
• See JFSC Case Studies for examples. https://www.jerseyfsc.org/protecting-the-public/retail-business-accepting-large-sums-of-cash/case-studies/

LINKED TRANSACTION

• In Jersey, under the Money Laundering (Jersey) Order 2008, “linked transactions” refers to two or more transactions that are connected in such a way that, when combined, they meet or exceed the €15,000 (or £12,500) threshold, even if each transaction is below that amount.
• WHAT DOES THIS MEAN IN PRACTICE?
• If a customer makes multiple payments for the same goods or service, and the total exceeds €15,000, these are considered linked.
• If transactions are deliberately split into smaller amounts to avoid triggering AML checks, they are linked.
• Linked transactions can occur over time or across different invoices, as long as they relate to the same underlying deal or arrangement.

HOW TO NOT BE A HVD

• Some businesses may decide not to register as high-value dealers as they will not accept payments over £12,500. In this case, they should have a documented policy, known to all staff, that requires refusal of any significant cash or virtual currency payments.
• The only accepted payments are a debit or credit card or a bank transfer.   

MORE INFORMATION - JFSC REGISTRATION OF A HIGH-VALUE DEALER?

• The JFSC  supervise high-value dealers to prevent financial crime and keep individuals, businesses, and the JFSC island safe from money laundering. 
• https://www.jerseyfsc.org/protecting-the-public/retail-business-accepting-large-sums-of-cash/

 Source

• https://www.jerseyfsc.org/news-and-events/are-you-a-high-value-dealer/
• https://www.linkedin.com/posts/jersey-financial-services-commission_are-you-a-high-value-dealer-activity-7392596185485828096-Vp2g?utm_source=share&utm_medium=member_desktop&rcm=ACoAAAA_6EIB0wPAWyjQcuq_XiD3asUV8xpMeZ0