Australia’s financial intelligence agency, AUSTRAC, has launched a sweeping campaign to clean up the country’s crypto landscape, targeting hundreds of inactive digital currency exchanges. With 427 crypto platforms currently registered, AUSTRAC suspects many are no longer operating, making them vulnerable to exploitation by criminal networks. The agency is now directly contacting dormant platforms with a clear message—“use it or lose it.” If an exchange fails to respond or prove it is still active, its registration will be revoked.

AUSTRAC’s CEO Brendan Thomas emphasized the need for accurate data and warned that crypto businesses must keep their registration details current, including information on discontinued services. Since 2019, AUSTRAC has canceled ten crypto firm registrations, including FTX Express in June 2024, the local arm of the collapsed exchange FTX.

To increase transparency, AUSTRAC plans to publish a public list of registered exchanges, allowing Australians to confirm whether a platform is legitimate. This initiative aims to improve trust, block scams, and ensure that only compliant operators remain in the market.

In parallel enforcement, AUSTRAC recently acted against 13 remittance and crypto service providers, with over 50 more under investigation. Six were denied registration renewal due to serious criminal allegations against key staff.

While Australia has yet to pass comprehensive crypto regulations, the government has proposed new rules placing crypto exchanges under existing financial laws. These reforms are expected to gain momentum following the upcoming federal election on May 3. AUSTRAC’s aggressive stance signals a turning point in how Australia monitors and manages crypto risk.