In a bid to fight against Australia’s growing money laundering issues, regulators have now cracked down on cryptocurrency trading service providers.
Australia’s AML Warnings for Crypto Firms
Australia’s anti-money laundering regulator, AUSTRAC, has taken action against 13 crypto trading platforms and remittance service providers, issuing compliance warnings to more than 50 others.
AUSTRAC’s CEO, Brendan Thomas, revealed that six providers, including Auaisa Trading Pty Ltd, Amco Travelling and Exchange Pty, Blue Star Exchange Pty Ltd, B-Paywize Pty Ltd, W Solution Group Pty Ltd, and TSS Farms & Group Pty Ltd had their registration renewals refused due to serious breaches of law by key personnel, including convictions or charges that damaged their integrity. Two other providers are now subject to conditions after failing to meet deadlines.
Moreover, Currencyfair Australia Pty Ltd and Currencyfair Limited initially missed the registration deadline but have now received conditional registration.
In addition, AUSTRAC has removed two defunct cryptocurrency exchanges i.e., FTX Express and Zipmex Australia, from the country’s Digital Currency Exchange Register following their insolvencies. Currently, there are 417 digital currency exchanges and 5,112 remittance institutions registered with AUSTRAC.
The crackdown comes from AUSTRAC’s investigation into non-compliance within the sector, focusing on systemic failures to report suspicious transactions. The latest action is a part of the regulator’s plans to further strengthen crypto industry oversight in 2025.
Alongside these efforts, the Australian Securities and Investments Commission (ASIC) recently issued a consultation paper to propose new guidance on classifying many digital assets as financial products, which would require crypto firms to hold licenses.
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