Australian financial regulator is testing the use of blockchain technology for the automation of reporting on international transactions.

According to the ZDNet, the Australian reporting and analysis centre transactions (AUSTRAC), in partnership with the University of Technology Swinburne in Melbourne has created a DLT prototype to conduct a proof of concept.

Partners will examine how the blockchain and smart contracts can help organizations such as banks, providers of payment and the casino, to automate the reporting of cross-border transfers in accordance with the requirements of the regulator.

Testing of the prototype began in December and will run for 12 months.

Recall that AUSTRAC with the fall of 2017 began to conduct oversight of the cryptocurrency exchanges. In the spring of 2018, the year of crypto currency exchange is obliged to register and follow the requirements of AUSTRAC in respect of combating laundering of illegally obtained funds and terrorism financing (AML/CTF).