Australia’s monetary intelligence authority has stepped up efforts to fight cryptocurrency scams by implementing new restrictions on crypto ATMs, a generally exploited channel for fraudsters focusing on weak customers.
This week, the Australian Transaction Reviews and Evaluation Centre (AUSTRAC) rolled out a set of up to date operational guidelines for crypto ATM operators. The important thing provision features a cap of AUD 5,000 on each deposits and withdrawals when utilizing these machines. As well as, AUSTRAC mandates that ATM kiosks now show rip-off warning signage and implement enhanced transaction monitoring and due diligence processes for customers.
These adjustments mark a big regulatory shift for the crypto ATM trade in Australia and are available amid rising studies of fraudulent exercise.
Rip-off Victims Overwhelmingly Older Australians
The regulatory crackdown follows findings from an AUSTRAC-led task force that investigated transaction data from nine major crypto ATM providers. The evaluation revealed that Australians aged 50 and above make up nearly all of customers by quantity, accounting for practically 72% of the overall transaction worth performed via these machines.
AUSTRAC has stated that the information revealed patterns that bear the “hallmarks of scams, fraud, and different illicit exercise.” AUSTRAC CEO Brendan Thomas defined, “surprisingly, the 60 to 70 age group was recognized as one of the vital prolific customers of crypto ATMs in Australia,” Mr Thomas stated. He continued, “It’s a large concern that individuals on this demographic are overrepresented as clients utilizing money to buy cryptocurrency.”
In response to knowledge from the US Federal Commerce Fee, folks 60 and older are 3 times extra prone to report being scammed by Crypto ATMs. Additionally they notice that the reported losses from scams involving crypto kiosks grew from US$12 million in 2020 to $114 million in 2023.
Older persons are disproportionately focused for crypto ATM scams as a result of scammers typically view seniors as financially safe, with substantial retirement financial savings or pensions. Moreover, many older adults might not be acquainted with quickly evolving applied sciences, together with cryptocurrencies and digital wallets. It has additionally been reported that seniors could also be extra trusting and fewer prone to suspect deceit, particularly when contacted by people posing as authority figures
Federal Police Information Highlights Rising Menace
The Australian Federal Police (AFP) reinforced these concerns, citing a big rise in reported scams involving crypto ATMs. Between January 2024 and January 2025, the nation’s cybercrime reporting system —ReportCyber — acquired 150 distinctive studies involving fraud through these kiosks.
This uptick has triggered coordinated motion from each AUSTRAC and regulation enforcement, aimed toward shutting down rip-off vectors and defending at-risk customers.
These numbers could be the tip of the iceberg as a result of, in line with AFP Commander Graeme Marshall, most crypto kiosk scams go unreported. He explains — “This could possibly be as a result of victims don’t realise they’ve been the sufferer of against the law, they don’t know how one can report rip-off exercise, or they really feel embarrassed as a result of they had been scammed.”
Commander Marshall additionally stated info is probably going one of many best weapons towards scammers and cybercrime extra broadly.
“The higher knowledgeable the general public is in regards to the warning indicators and purple flags related to these scams, the extra seemingly they received’t fall for scammers’ shady techniques,” Commander Marshall stated.
“Sadly, the truth is that when crypto is shipped to a scammer, it’s tough to hint and virtually unimaginable to get again.”
He says scammers are utilizing more and more subtle techniques to succeed. Commander Marshall implores extra rip-off victims to inform family and friends their tales to boost consciousness and forestall others from falling sufferer to related schemes.
Exchanges Urged to Self-Regulate on Money Offers
Though the brand new guidelines immediately apply solely to crypto ATM operators, AUSTRAC has issued a powerful suggestion to crypto exchanges throughout Australia to comply with go well with. Particularly, the company has inspired platforms that settle for money for crypto purchases to voluntarily undertake related restrictions and enhance vigilance.
By extending the attain of those protecting measures, regulators hope to create a broader tradition of accountability inside the digital asset ecosystem.
Regulatory Alerts for the Crypto Sector in Australia
The transfer underscores a tightening of Australia’s method to digital asset infrastructure, particularly the place it intersects with the money economic system. It additionally displays a worldwide development of accelerating regulatory oversight over the extra opaque and casual corners of the crypto house.
Whereas the measures could place an extra compliance burden on operators, they’re additionally being welcomed as a step towards lowering fraud, bettering shopper safety, and bringing crypto companies in step with broader monetary security requirements.
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