Australia has introduced new operating conditions and cash transaction limits for crypto ATM providers to curb scams and enhance anti-money laundering compliance.
In a June 3 press release, the Australian Transaction Reports and Analysis Centre (AUSTRAC) stated that crypto ATM operators must now implement a cash deposit and withdrawal cap of 5,000 Australian dollars (approximately $3,250).
Operators must also display scam warning messages at machines to alert users about potential fraud.
In addition, ATM providers are now required to conduct more thorough customer checks and enhance their transaction monitoring for suspicious activity.
“These conditions are designed to help protect individuals from scams and businesses from criminal exploitation,” AUSTRAC CEO Brendan Thomas said in a statement.
“In light of the risks and harms we consider it is absolutely necessary to ensure the sector meets minimum standards and reduces the criminal misuse of crypto ATMs,” he added.
The new rules come as part of an enforcement initiative following an AUSTRAC taskforce investigation into crypto ATM usage across the country.
The task force analyzed data from nine providers and found that individuals aged over 50 accounted for nearly 72% of all transaction value, with those aged 60 to 70 making up 29% alone.
The agency also refused to renew the registration of one operator, Harro’s Empires, citing ongoing risks of misuse.
It warned that other digital currency exchange providers failing to meet their obligations under the Anti-Money Laundering and Counter-Terrorism Financing Act could face similar consequences.
Although the current cash limit applies only to crypto ATM providers, AUSTRAC urged all exchanges accepting cash to consider adopting similar thresholds to reduce exposure to financial crime risks.
In collaboration with the Australian Federal Police-led Joint Policing Cybercrime Coordination Centre (JPC3), AUSTRAC has also developed educational materials that will be placed near ATMs to alert users about common scam tactics, warning signs, and how to report suspicious activity.
The announcement follows AUSTRAC’s warnings earlier this year, when it cautioned crypto ATM providers that non-compliance with AML/CTF rules would lead to legal action.
At the time, AUSTRAC said it had already been working with industry participants since December 2024 to improve standards across the growing network of machines.
Authorities highlighted that some Australians had lost their life savings after being directed to crypto ATMs by scammers. With most machines accepting only cash for Bitcoin purchases, officials say this raises significant risks of exploitation.
Meanwhile, in a separate June 3 report, the Australian Federal Police reported 150 scam-related cases involving crypto ATMs between January 2024 and January 2025, with losses exceeding 3.1 million Australian dollars.
Authorities believe the actual number may be higher, as many victims are either unaware they’ve been defrauded or are hesitant to come forward.
As of last check, Australia is home to over 1,800 crypto ATMs, a dramatic rise from just 23 machines in 2019. According to AUSTRAC, nearly 150,000 transactions occur annually through these machines, moving an estimated $275 million in cash, with Bitcoin, Tether, and Ether being the primary assets purchased.
