AUSTRAC cracks down on 13 remittance and crypto providers

The Australian Transaction Reports and Analysis Centre (AUSTRAC) has revealed that it took action on 13 remittance and crypto providers and is reviewing over 50 providers. 

AUSTRAC CEO Brendan Thomas said two other providers had conditions placed on their registrations after failing to meet requirements before the deadline. As a result, they are now on notice. Failure to meet conditions may result in suspension or cancellation of their registrations. Three other entities that were refused registration no longer operate in Australia.

Meanwhile, two collapsed crypto exchanges — FTX Australia subsidiary FTX Express and Zipmex Australia — were removed from the country’s Digital Currency Exchange Register following insolvencies.

AUSTRAC addresses money laundering risks in the crypto sector

Over a long period, AUSTRAC has conducted investigations into companies that ignored suspicious transactions. To date, two companies have been spotted and put on notice. The regulatory body will cancel their licenses if they fail to comply with the license conditions.

Several companies are facing legal action. They include Auaisa Trading Pty Ltd, Amco Travelling and Exchange Pty Ltd, and B-Paywize Pty Ltd. Others were marked as operating businesses that no longer need to be registered and include Jinte Net Blockchain Pty Ltd and DIGI-SEND E-Money Pty Ltd.

Currencyfair Australia Pty Ltd and Currencyfair Limited missed the deadline to meet their registration requirements fully. They are now registered with conditions.

The agency said that when crypto exchanges and remittances don’t report suspicious transactions, it slows the fight against financial crime.

The agency relies on reporting entities to produce actionable financial intelligence that guides law enforcement agencies to solve financial crimes every year. Remittance service providers and crypto exchanges are key to detecting and disrupting criminal abuse of the Australian financial system.

Australian regulator sends a strong message to crypto exchanges and money remitters

Last December, Thomas said the government agency would focus on the crypto industry in 2025 as part of a crackdown on crypto ATMs that may not comply with Anti-Money Laundering laws.

There are almost 417 digital currency exchanges and 5,112 remittance registrations in Australia. Since January 2024, AUSTRAC has reminded 106 entities of their obligations. The entities come from different sectors, and whenever they are found not complying with the rules, they expose themselves to further legal action.

At the end of 2024, the Australian Transaction Reports and Analysis Centre released its first consultation into the proposed new Anti-Money Laundering and Counter-Terrorism Financing Rules. This followed the passage of the Anti-Money Laundering and Counter-Terrorism Financing Amendment Bill 2024, which amended the Anti-Money Laundering and Counter-Terrorism Financing Act 2006.

AUSTRAC believes reporting entities are its strongest defense in highlighting criminal activity.

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