AUSTRAC Revokes Registration from 45 Crypto Service Providers

The Australian Transaction Reports and Analysis Centre (AUSTRAC) has revoked registration from 45 crypto service providers over the past year.

These companies were removed for various reasons, including inactivity, insolvency, or lack of operational capacity, as well as posing serious money laundering or terrorism-financing risks.

Cancelling a business's registration does not automatically mean customer funds are seized. However, if a company is insolvent, the outcome may depend on its financial position, custody arrangements, and contractual obligations.

According to AUSTRAC, the businesses targeted were required to stop operating once their registration was cancelled. While this doesn't necessarily translate to freezing user crypto, customers should be cautious about withdrawals pending or if a company is insolvent.