The post AUSTRAC Tightens Grip on Crypto ATMs After Spike in Illicit Activity appeared on BitcoinEthereumNews.com.

In brief AUSTRAC revoked a crypto ATM provider’s license and imposed $5,000 transaction caps after finding widespread fraud, especially targeting users aged 60–70. New data shows over-50s account for 72% of ATM transaction value, prompting tighter rules and educational campaigns near machines. The regulator said it will continue monitoring the sector and may introduce further measures if scam-related harm persists. Elderly Australians are being scammed out of millions at crypto ATMs, and AUSTRAC is shutting them down. AUSTRAC, or the Australian Transaction Reports and Analysis Centre, said it has refused to renew the registration of crypto ATM operator Harro’s Empires and imposed new conditions on others, according to a statement released Monday.  To combat fraud, AUSTRAC has capped deposits and withdrawals at $5,000 per transaction and is requiring enhanced customer due diligence. Digital currency exchanges that accept cash have been urged to adopt similar safeguards. “A large number of 60–70-year-old users are victims of scam activity, AUSTRAC CEO Brendan Thomas said in the statement. “It’s a huge concern.”  The announcement follows a March warning by AUSTRAC that placed the sector “on notice,“ after a crypto taskforce formed in late 2023 flagged serious gaps in compliance.  New data from nine crypto ATM providers show that people over 50 account for nearly 72% of total transaction value, with the 60–70 demographic alone representing 29%. “AUSTRAC’s recent move, coupled with Singapore’s MAS’ licensing deadline, are particularly alarming given APAC’s established position as a crypto hub,” Altan Tutar, CEO and Co-Founder of MoreMarkets, told Decrypt. “The region has long attracted Web3 projects through balanced regulation that pushed innovation while maintaining oversight. This competitive advantage now appears at risk.” AUSTRAC’s latest action targets a sector that has seen unchecked growth, with the number of crypto ATMs increasing from 23 in 2019 to over 1,800 today,…

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Filed under: News - @ June 3, 2025 5:25 pm