The Australian financial intelligence regulator announced that over the past year, it has canceled, suspended, or refused to renew 45 registrations of cryptocurrency and money transfer services, tightening control over high-risk payment companies.
On Monday, the Australian Transaction Reports and Analysis Centre (AUSTRAC) stated that these actions were taken against providers who were not operating, were insolvent, or lacked the capabilities to conduct business. The regulator also cited failures to report material changes, incorrect registrations, and cases posing significant money laundering or terrorism financing risks.
AUSTRAC CEO Brendan Thomas stated that companies whose registrations were canceled can no longer operate. He added that individuals associated with some companies have been referred to Australian and foreign law enforcement or regulatory partners.
AUSTRAC highlighted BA Digital Ventures, operating under the name GetCoins, which lost its registration as a virtual asset service provider in June following customer complaints. The regulator stated that GetCoins was allegedly used in organized cryptocurrency investment fraud schemes, and its deregistration, carried out jointly with the National Anti-Fraud Centre, helped disrupt this activity.
The regulator did not name all 45 companies or provide a breakdown between cryptocurrency and money transfer providers. Its publicly available VASP register lists recent actions against GetCoins, Cryptolink, Self Custody, Jam Xchange, and Coinsec Australia.
AUSTRAC has also initiated an investigation into Western Union and suspended the operations of the Cryptolink cryptocurrency ATM network.
Related: Australia Nears a 'Tipping Point' in Crypto Demand — Kraken Aus Managing Director
