5 pages of blah
put simply
rule 1
if you touch fiat read the regulations and learn the rules and follow them
rule 2 over $1000 / Euro1000 / £850 in a single transaction or multiple transactions deemed as linked (same day/same recipient/payee) requires Identification
rule 3
over $10,000 / Euro15,000 / £12500 in a year requires identification
rule 4
if payee / recipient makes it obvious that the use of the transaction is crime related, or details of the people are linked to a criminal hotlist then a SAR's report has to be made.
rule 5
have policies/ coding features to log any /all info you can gather to recognise repeat business to then warn the transactors they are approaching limits, then requiring ID. gathering ID if they wish to continue.
rule 6
fincen dont just shut down a exchange on a whim. they do however shutdown exchanges if a report gets received to them which they then back track to an exchange and it is found that the exchange aint following the rules... so follow the rules
rule 7
dont be dumb thinking you can be lazy by not having policies inplace, as sometime/someplace if your bank just asks a simple question and you dont have the answer they may end up investigating you.
rule 8
even scammers that try chargebacks trigger the banks involved to then internally investigate and pass on info to fincen if an exchange can't give valid explanations.
rule 9
there are more rules but the simple ones above have been neglected by previous exchanges and so they get shut down and then blame regulators, and not the 17yo zit faced guys behind the exchanges for being lazy to not learn the rules.
many exchanges such as intersango got shut down because the lazyness of not even reading the UK FSA guidelines to even bother following the rules.
the rules are simple. talking to fincen SEC, FSA etc is simple. if you follow them you are fine. but the main thing is rule 1
if your going to touch FIAT READ AND FOLOW THE RULES
rule 10
if you don't want to follow the rules. don't touch FIAT