Australia’s national financial intelligence agency, AUSTRAC, is prioritising crypto in 2025. A new task force has been established to crack down on crypto ATM providers breaking Anti-Money Laundering (AML) laws.
In a Dec. 6 statement, AUSTRAC CEO Brendan Thomas revealed that the agency is stepping up its focus on the crypto industry. According to AUSTRAC, digital assets are increasingly being used for money laundering, scams, and money mule activities.
Concretely, the agency targets crypto ATM providers accused of failing to comply with Australian AML laws. The new AUSTRAC task force will ensure that the DCEs, crypto-ATM providers included, meet minimum standards.
These standards regulate the possibility of such machines falling into improper hands and committing fraud and money laundering crimes to a minimum.
Legal obligations for crypto ATM providers
Under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006, DCEs must register with AUSTRAC. They must also monitor transactions, perform KYC checks, and report suspicious activities. Crypto ATM operators are also required to report cash deposits and withdrawals above $10,000.
Thomas further warned that AUSTRAC will not show any tolerance for operators failing to comply. Cryptocurrency and ATMs are an attractive avenue for criminals, he said, pointing out their widespread accessibility and the irrevocable nature of digital assets transactions.
There are currently 400 DCEs registered with AUSTRAC, but only a small portion operate crypto-ATMs. In total, Australia boasts around 1,200 machines, placing it third overall globally for these ATMs. “AUSTRAC will be producing guidance material that will help DCEs identify risks in financial crime so that they can target and report suspicious activity more effectively.
Increased monitoring by AUSTRAC aims to ensure that the opportunities for digital assets crime are minimized. Where a provider fails to meet their obligations, there are potential significant penalties. Anyone who thinks they might be a victim of fraud or a scam involving these ATMs should report it to the police, Scamwatch or ReportCyber.
Related | Kraken crypto survey: 60% of holders fear missing price surges
