AUSTRAC Revokes 45 Crypto Registrations Amid Compliance Concerns

The Australian Transaction Reports and Analysis Centre (AUSTRAC) has revoked the registrations of 45 crypto service providers in the past year, citing insolvency, inactivity, or Anti-Money Laundering/Counter-Terrorism Financing (AML/CFT) compliance risks. The businesses were removed from AUSTRAC's registers for various reasons, including registration issues and failing to report key changes.

According to AUSTRAC, once a business's registration is cancelled, it can't continue operating. However, this does not mean that customer funds are automatically seized. Instead, appointed professionals manage assets and affairs during administration or liquidation.

The revocations come after AUSTRAC said on September 7 that the businesses had been removed for various reasons, including inactivity, insolvency, or lack of operational capacity. The regulator also cited registration issues, failed to report key changes, or posed serious money laundering or terrorism-financing risks.