What is “Source of funds” and what documents are accepted?
We are occasionally required to collect and verify additional information and documents from our customers to comply with customer due diligence and anti-money laundering laws and regulations. Proving the “Source of Funds” is the key aspect of this process.
Proof of Source of Funds should be a document that displays from where the funds used to fund your Cape Crypto account have originated from. In cases of large Crypto or Fiat deposits, we require proof and explanations of how and when the Crypto and Fiat assets were obtained.
Provided documentation should comply with the following requirements:
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Must be in one of the following formats - .pdf, .png, .jpg, .jpeg
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Should be visible in full, with all four corners captured (in case it’s a photo/scan)
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Your name, date of statement and dates of transactions should be clearly visible
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All transaction details should be clear and legible
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While you may cover sensitive information*, we need to clearly see the inbound transactions (your income) as well as the outbound transactions (your deposits to Cape Crypto)
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Bank statements/payslips / other documents must be relevant to the time period in question and should also reflect your most recent balances
Some examples of possible source of funds and acceptable proof for each:
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Salary: you would provide a recent payslip from your employer (and/or a tax statement) AND a bank statement showing your recent account balances. Your name, date and amounts should be clearly visible.
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Sale of property: you would provide a copy of a contract of sale (or a copy of a land registry, a title deed or a letter from a real estate agent or a lawyer confirming the sale of a property) AND a bank statement that displays the proceeds of the sale being deposited. Your name should be clearly visible on both documents along with amounts and dates.
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Savings: you would provide a bank statement reflecting that the savings are more than or equal to the amount being invested. The statement period should cover at least three months. Your name, dates and amounts should be clearly visible.
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Loan: you would provide the loan agreement AND a bank statement that displays the loan being deposited. Your name should be clearly visible on the documents along with amounts and dates.
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Inheritance: you would provide a copy of a testament (or a letter from the executor of the will or lawyer) AND a bank statement that displays the proceeds of the sale being deposited. Your name should be clearly visible on all documents along with amounts and dates.
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Gift or donation: you would provide an affidavit/letter from the donor explaining the nature of the gift along AND a bank statement reflecting the deposit is acceptable. Your name should be clearly visible on all documents along with amounts and dates.
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Pension fund: you would provide details on the pension fund (along with a fund statement, if available) AND a bank statement that displays the pension being deposited. Your name should be clearly visible on the documents along with amounts and dates.
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Tax refund: You would provide a copy of the tax return that reflects the tax refund (should be no older than 12 months) AND a bank statement that displays the funds being deposited to your account. Your name should be clearly visible on the documents along with amounts and dates.
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Other: you would provide other official documentation evidencing source of wealth and funds. Your name should be clearly visible on the documents along with amounts and dates. The amounts in question should support your financial activity with Cape Crypto.
*It is acceptable to cover some sensitive information, for example - social security number, credit card number or similar.
Please be advised that in order to verify the legitimacy of each document it must be as lightly redacted as possible, i.e. in the case of bank statements, we need to clearly see all of the inbound and outbound transactions.