AUSTRAC has mandated Binance Australia's parent company, Investbybit Pty Ltd, to appoint an external auditor within 28 days due to severe deficiencies in its anti-money laundering (AML) controls. The regulator flagged critical issues including inadequate oversight, a significant turnover of staff, and a lack of suitable management at the exchange. This situation follows AUSTRAC's ongoing scrutiny of crypto platforms amid tightening regulations as they seek to address potential illicit money flows. In recent months, other exchanges like Kraken and Bitget have also faced regulatory actions, emphasizing the high stakes involving compliance in the rapidly evolving cryptocurrency landscape. AUSTRAC CEO Brendan Thomas has stressed the need for better understanding of local AML risks among global crypto operators. The directive underscores the importance for platforms operating within Australia to establish robust compliance frameworks in light of increased regulatory expectations and risks associated with money laundering and financing of terrorism.

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