Australia has suspended the operations of 96 cryptocurrency ATMs after regulator AUSTRAC found serious anti-money laundering and counter-terrorism financing compliance failures at operator Cryptolink.
AUSTRAC suspended Cryptolink’s registration for three months, forcing the company to take its entire ATM network offline. The regulator said the operator failed to meet key reporting obligations and did not provide information requested to assess whether its machines were operating within Australian law.
Regulatory Action Follows Earlier Penalty
The latest enforcement action follows a previous compliance intervention against Cryptolink in October 2025. AUSTRAC issued the company a A$56,340 infringement notice after identifying late reporting of large cash transactions and weaknesses in its AML and counter-terrorism financing risk assessments.
Cryptolink also entered an enforceable undertaking intended to improve its transaction monitoring, risk assessments and compliance controls. However, AUSTRAC said the company later failed to meet basic reporting requirements and did not respond to an information request.
The regulator said those failures left it concerned about the company’s ability to manage high-risk transactions through its crypto ATMs. The suspension prevents Cryptolink from operating the machines while AUSTRAC continues monitoring its compliance.
Crypto ATMs Face Growing Scrutiny
The action highlights Australia’s broader crackdown on crypto ATM operators. AUSTRAC has identified crypto ATMs as a significant money laundering risk and has warned that criminals can use them to move scam proceeds and other illicit funds.
Australia introduced additional controls in 2025, including a A$5,000 limit on cash deposits and withdrawals, stronger customer due diligence and mandatory scam warnings. AUSTRAC said crypto ATMs process about 150,000 transactions worth nearly A$275 million annually.
The regulator has continued intensifying oversight in 2026 as wider AML reforms take effect. New transaction reporting requirements also began on July 1, with updated reports designed to improve the quality of financial crime intelligence.
The Cryptolink suspension signals that Australian regulators are prepared to remove crypto ATM operators from the market when compliance weaknesses persist, increasing pressure on the sector to strengthen monitoring, reporting and customer protection.
