The Australian Transaction Reports and Analysis Center (Austrac) has ordered the local unit of Crypto Exchange Binance to appoint an external auditor to concerns about anti-money laundering (AML) and counter-terrorist financing (CTF) systems.
The regulator Says Friday the decision was made “after determining serious concerns” in Binance’s AML/CTF controls.
Matt Poblocki, Binance Australia and New Zealand General Manager, told Cointelegraph, “Binance Australia recognizes Austrac’s decision,” added that the transition is “one of their administration reviews and not an implementation action.”
Austrac CEO Brendan Thomas said the regulator’s last year’s risk assessment was “featuring increased weakness of digital currencies in criminal abuse.” The request for an external auditing complies with regulatory association throughout the “Priority Sector” that has been the crypto industry.
The regulator also shared concerns about the high turnover staff in Binance and a lack of local resourcing and administration of senior management. This, Austrac said, raised questions about adequate AML and CTF management of the company.
“This is a global company that operates on boundaries in a highly risky environment. We expect stable customer identity, appropriate diligence and effective transaction monitoring,” Thomas said.
Related: Australia rolls new Crypto ATM policies as Feds flag rising scams
Binance’s problems in Australia
Binance found itself in the crosshairs of Australian regulators Before. In late 2024, the Australian Securities and Investments Commission (ASIC) took Legal action against the derivatives of Binance Australia on alleged consumer protection failures.
Back to Tag -Heater of 2023, ASIC searched the offices of Binance Australia. The investigation is part of an investigation of Australia’s defunct derivatives of exchange. It followed ASIC cancellation of Binance Australia’s Binance Derivatives license.
License cancellation complied with local regulators Checking Binance’s derivatives with account closing notifications Sent to users because of a miscalculation of some users as “wholesale clients.”
Related: Australian regulator captures former Blockchain Global Director in court
Binance debanked in Australia
In 2023 Binance was Forced to suspend Australia’s Fiat Fiat services After local payment service provider Zepto, was ordered to stop supporting the exchange. Subsequent statements indicate that the exchange has been obtained Less than one warning a day From its payment partner before it is “cut” from the local banking system.
To this day, Binance advice Users who intend to withdraw the Australian dollar from the platform to buy USDT (USDT) Stablecoin to move funds to the platform or use peer-to-peer trading services. The “Bank Transfer” option is colored with a “suspended” channel message.
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