Reading Time: 2 minutes
Australia’s financial intelligence agency has refused to renew a crypto ATM operator’s registration
AUSTRAC has introduced transaction limits and tighter compliance rules for others in order to curb criminal action involving ATMs
A taskforce has found widespread scams affecting older Australians using crypto ATMs

Australia’s financial intelligence agency, AUSTRAC, is stepping up enforcement against cryptocurrency ATM operators after uncovering widespread misuse of the machines in scams and other illegal schemes. The agency has denied the registration renewal of one provider and imposed stricter operating conditions on others, including tighter transaction limits and enhanced due diligence. A key concern driving these measures is the disproportionate number of older Australians—particularly those between 60 and 70 years old—who have been targeted and defrauded using these machines.

AUSTRAC Clamps Down on Criminals

AUSTRAC’s latest action saw the registration of crypto ATM operator Harro’s Empires rejected, citing its exposure to ongoing scam-related risks. At the same time, AUSTRAC placed new restrictions on other providers, including a $5,000 cap on cash deposits and withdrawals, mandatory scam alerts displayed at the machines, and requirements for improved transaction monitoring systems. These changes are intended to make it harder for criminals to exploit the anonymity of cash-based crypto purchases and to protect vulnerable users from being deceived.

Commenting on the move, AUSTRAC CEO Brendan Thomas said the taskforce had uncovered “disturbing trends” confirming the use of crypto ATMs in fraud schemes. “It is a huge concern that people in this demographic are overrepresented as customers using cash to purchase cryptocurrency,” he said, referring to older Australians. “Evidence suggests that a large number of 60-70-year-old users are victims of scam activity.”

Use Is Rising, Alongside Risk

Since 2019, the number of crypto ATMs in Australia has jumped from just 23 to over 1,800, with annual transaction volumes now estimated at $275 million. Most transactions involve cash deposits used to purchase popular cryptocurrencies like Bitcoin, Tether, and Ethereum. According to AUSTRAC, users over the age of 50 account for nearly 72% of all transaction value, with those aged 60–70 alone representing nearly a third.

To tackle this growing threat, AUSTRAC is working with law enforcement agencies and crypto ATM operators to develop better safeguards, including scam awareness signage at ATM locations. The agency is also collaborating with the AFP-led Joint Policing Cybercrime Coordination Centre to roll out educational resources aimed at warning potential victims before money changes hands.

AUSTRAC Encourages Further Transaction Caps

The crackdown sends a clear signal to digital currency exchange providers about the need to follow anti-money laundering and counter-terrorism financing laws. AUSTRAC has encouraged providers that accept cash to consider adopting similar transaction caps to reduce their exposure to illicit finance risks. “This will reduce their exposure to money laundering, terrorism financing, and other serious crime risks,” the agency said.

With crypto use continuing to rise, AUSTRAC says it will remain alert to emerging threats and will not hesitate to act further if needed. Anyone who believes they have been targeted by a scam is urged to stop sending funds immediately and report the incident to police through ReportCyber and Scamwatch.

The post AUSTRAC Cracks Down on Crypto ATM Operators appeared first on FullyCrypto.

---

Filed under: Bitcoin - @ June 4, 2025 8:08 am