Australia Tightens Crypto ATM Rules to Combat Scams
Australia has set new rules for crypto ATM providers to fight scams adn improve anti-money laundering efforts. The Australian Transaction Reports and Analysis Center (AUSTRAC) announced these changes on June 3.
Now, crypto ATM operators must limit cash deposits and withdrawals to 5,000 Australian dollars (about $3,250). They must also show scam warning messages on their machines. This helps users spot potential fraud.
Operators need to check customers more carefully and watch transactions for suspicious activity. AUSTRAC CEO Brendan thomas said these rules protect people from scams and businesses from criminal use.
The new rules follow an AUSTRAC taskforce investigation. The taskforce found that people over 50 made up nearly 72% of all transaction value. AUSTRAC refused to renew one operator’s registration due to misuse risks.
Authorities warn other digital currency exchanges to meet their legal obligations. AUSTRAC urges all cash-accepting exchanges to adopt similar limits to reduce financial crime risks.
with AUSTRAC and the Australian Federal police, educational materials will be placed near ATMs. These materials will teach users about common scam tactics and how to report suspicious activity.
Between January 2024 and January 2025, the Australian Federal Police reported 150 scam-related cases involving crypto ATMs. Losses exceeded 3.1 million Australian dollars.The actual number may be higher as many victims don’t report being defrauded.
Australia now has over 1,800 crypto ATMs, up from just 23 in 2019. Nearly 150,000 transactions occur annually through these machines,moving an estimated $275 million in cash.
