Australia imposes restrictions on Crypto ATMs after increased scams to older adults

The local regulator, Austrac, Take new regulatory measures to stop fraud linked to the use of cash in automatic cryptocurrency ATMs.

***

• An AUD $ 5,000 limit is imposed on tanks and withdrawals of Crypto ATMs.
• Users older than 50 years represent 72% of transactions.
• The regulator warns about scams aimed at people between 60 and 70 years.

The main regulator against money laundering in Australia, Austrac, implemented new restrictions on cryptocurrency ATM suppliers with the aim of curbing the growing scams that mainly affect the elderly population.

The entity He announced an AUD $ 5,000 limit for deposits and cash withdrawals on these devices. In addition, it will require operators to include visible warnings about scams, improve due controls diligence (KYC) and actively monitor suspicious transactions.

The decision is given after an investigation in which Austrac He collected data from nine cryptocurrency cashiers. The results showed that 72% of all transactions were made by people over 50, and that 29% specifically corresponded to the age group between 60 and 70 years.

Older users, white scammers

The executive director of Austrac, Brendan Thomas, described the situation as worrying. “It is a great concern that people in this demographic group are overrepresented as customers who use cash to buy cryptocurrencies and, as evidence suggests, that a large number of users between 60 and 70 years are victims of fraudulent activities”he said in the statement issued on Monday.

Thomas explained that criminals usually use social engineering tactics to induce their victims to buy cryptocurrencies through ATMs, transferring them without knowing it to the scammers themselves.

The use of cash in these cases makes it difficult to track the origin and destination of the funds, so the new limit seeks to reduce this risk.

Crypto infrastructure growth in Australia

Australia has become the country with the largest amount of automatic cryptocurrency ATMs in the Asia-Pacific region. Según Austrac, In 2024, about 1,600 devices operate in the country, compared to just 23 that existed in 2019.

Every year approximately 150,000 transactions are made through this network, mobilizing a volume close to the AUD $ 275 million. These operations are mainly oriented to the purchase of Bitcoin, although they also include coins such as Tether (USDT) and Ethereum (ETH).

The strong growth of this infrastructure has attracted the attention of the authorities due to its potential to facilitate both financial inclusion and illegal activities.

Additional regulatory measures

As part of your recent actions, Austrac He also reported that He refused to renew the company’s registration Harro’s Empires, After detecting that their ATMs could be exploited for illegal activities.

The regulator has urged all Crypto ATM suppliers in the country to officially register and have robust controls against money laundering and terrorist financing.

These measures are part of a broader effort by Australia to ensure that the adoption of emerging financial technologies does not translate into major risks to consumers or regulatory gaps.

Although the crypto environment has offered new economic and innovation opportunities, the Australian case highlights the need for specific regulations that protect the most vulnerable sectors of the population.

Written article with the help of an AI content editor, edited by Angel Di Matteo / Diariobitcoin

Original image of Unspash, edited with Canva

WARNING: Diariobitcoin offers informative and educational content on various topics, including cryptocurrencies, AI, technology and regulations. We do not provide financial advice. Cryptactive investments are high risk and may not be adequate for all. Investigate, consult an expert and verify the applicable legislation before investing. I could lose all its capital.

Subscribe to our newsletter