Australia’s financial intelligence agency has implemented stricter regulations on crypto ATMs to address increasing concerns about scams, according to Cointelegraph. As of June 3rd, the Australian Transaction Reports and Analysis Centre (AUSTRAC) has introduced guidelines that limit cash deposits and withdrawals to AU$5,000 (approximately US$3,250) per transaction. Additionally, operators must display warnings about scams and improve transaction checks and customer verification processes. While these regulations currently affect ATM providers, AUSTRAC has recommended that crypto exchanges that manage cash transactions consider implementing similar limitations.
AUSTRAC CEO Brendan Thomas emphasized that these changes are aimed at reducing the criminal exploitation of crypto ATMs and protecting users and businesses alike. The agency will continually review the rules and may adjust them based on insights gathered from regulators and law enforcement. Thomas expressed concern over the targeting of older Australians, stating, “It’s troubling to see older Australians being targeted this way,” and underscored the need for protective measures. A task force launched in September 2023 investigated compliance among crypto ATM providers, leading to the revelation that individuals over 50 accounted for nearly three-quarters of all transactions by value.
Many victims were in the 60 to 70 age range, which is considered more susceptible to scams. Between January 2024 and January 2025, the Australian Federal Police (AFP) reported 150 scam-related cases linked to crypto ATMs, with losses exceeding AU$3.1 million (around US$2 million). However, AFP Commander Graeme Marshall noted that this figure likely underrepresents the total loss since many victims may not even realize they have been scammed. As the usage of crypto ATMs surged—rising from 67 installations in August 2022 to 1,819—regulators have felt compelled to take action.
The new AUSTRAC rules aim to strike a balance between accessibility and enhanced safety measures in this rapidly growing market. Authorities believe that the AU$5,000 limit can help mitigate larger fraudulent transactions, particularly protecting vulnerable populations from scams. The impact of these regulations on both scam rates and the broader crypto ATM landscape will become clearer in the coming months.