The Australian Transaction Reports and Analysis Centre (AUSTRAC) has cancelled, suspended, or refused to renew the registrations of 45 remittance and virtual asset service providers (VASPs).

 

The actions were taken due to several shortcomings identified among these businesses, including a lack of operational capacity, dormancy or inactivity, insolvency, failure to hold the appropriate registration, an inability to provide designated virtual asset services over a prolonged period, and breaches of Australia’s anti money laundering and counter terrorism financing laws.

 

“Businesses with cancelled registrations can no longer operate and, where appropriate, we’ve referred individuals behind these businesses to law enforcement and regulatory partners locally and overseas,” AUSTRAC CEO Brendan Thomas said.

 

“Financial crime operates across borders, and we work closely with our domestic and international partners to strengthen the financial system not just in Australia, but globally.”

 

AUSTRAC Deregisters Getcoins

 

Among the 45 businesses deregistered by the Australian regulator was Getcoins, an Australian virtual asset service provider operated by BA Digital Ventures Pty Ltd.

 

Shedding more light on the action, AUSTRAC said the deregistration followed several customer complaints it had received about Getcoins.

 

Following the complaints, AUSTRAC requested information from Getcoins regarding its operations and to assess the firm’s ability to manage its money laundering risks.

 

The regulator later concluded that Getcoins had allegedly been exploited by organised cryptocurrency investment scams. By working with the National Anti Scam Centre (NASC) and cancelling Getcoins’ registration, AUSTRAC said it helped disrupt the organised investment scam activity.

 

AUSTRAC has intensified its scrutiny of the payments, remittance and crypto sectors in recent months due to the heightened money laundering, terrorism financing and other serious crime risks associated with these industries.

 

The regulator’s recent actions include suspending Cryptolink’s registration, which prevented the company from operating its network of 96 cryptocurrency ATMs, as well as launching an ongoing investigation into Western Union over concerns about its management of high risk payment channels, customers and affiliates.