AUSTRAC Cracks Down on High-Risk Crypto and Remittance Providers

Australia's financial intelligence regulator, AUSTRAC, has taken action against high-risk payment businesses in the crypto and remittance sectors. Over the past year, it canceled, suspended or refused to renew 45 registrations, targeting providers that were inactive, insolvent or lacked the capacity to operate.

The actions also included cases where businesses failed to report material changes, had incorrect registrations or presented significant money laundering or terrorism financing risks.

According to AUSTRAC CEO Brendan Thomas, businesses whose registrations were canceled can no longer operate. Individuals connected to some businesses have been referred to Australian and overseas law enforcement or regulatory partners.

The regulator highlighted the case of BA Digital Ventures, which traded as GetCoins and had its virtual asset registration canceled in June following customer complaints. AUSTRAC said GetCoins was allegedly exploited by organized cryptocurrency investment scams, and that its cancellation helped disrupt the activity.