Australia’s Financial Intelligence Agency has asked the passive registered crypto exchanges to withdraw their registration or can be canceled on the apprehensions that passive firms can be used for scams.
Currently 427 crypto exchanges are registered with the Australian Transaction Report and Analysis Center (Austrac), but agency Said On 29 April, it is suspected that a significant number are inactive and are possibly unsafe by criminals to be purchased and co-coated.
The agency is contacting any so -called digital currency exchanges (DCE) that is no longer trade, and Austrac CEO Brendon Thomas said they would be asked to “use or lose it”.
He said, “Businesses registered with Austrac need to keep their details updated; This includes details about services that are no longer provided,” he said.
Businesses offering Australian conversions between cash and crypto, including Crypto ATM providers, must first register with Austrac, which monitors crimes including money laundering, terror financing and tax evasion.
The agency can cancel a registration if it has the right basis to assume that the business is no longer active or offering crypto-related services.
Ten firms have canceled their Austrac registration since 2019, with the most recent FTX Express in June 2024, the collapsed Crypto Exchange FTX local subsidiary.
Austrac to launch public list of registered exchanges
After its blitz on passive crypto exchanges, Austrack stated that it would publish a list of registered exchanges to help Australians verify valid providers.
Thomas said that the goal is to scam people for criminals and improve the integrity and accuracy of the Austrac register.
“If a DCE intends to offer a service, they need to contact us otherwise we will cancel the registration and this information will be added to the register,” he said.
Thomas said, “People of the public should be confident that they can identify valid cryptocurrency providers who are registered and are subject to regulatory inspection and we are running criminals from this industry.”
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In February, the Anti-Mani Laundering regulator took action against 13 remittances service providers and Crypto exchanges, with more than 50 others still being investigated on possible compliance issues.
Six providers were denied registration renewal on the grounds that prominent personnel were either convicted, prosecuted, or with a serious crime.
Australia has so far passed the Crypto rules. In August 2022, the ruling center-from Left Labor Party launched a series of industry consultation to draft the Crypto regulatory structure.
In March, the government proposed a new crypto structure regulating exchanges under the existing financial services laws before the federal election for 3 May.
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