Catenaa, Friday, October 17, 2025- Australia’s Home Affairs Minister Tony Burke unveiled sweeping new powers on Wednesday to curb the growth of crypto ATMs, calling the machines a “high-risk product” linked to scams, money laundering, and child exploitation.
Burke highlighted the rapid expansion of crypto ATMs nationwide, rising from 23 units six years ago to over 2,000 today.
Authorities found that 85% of top-user transactions involved scams or money mule activity, prompting the move to grant the Australian Transaction Reports and Analysis Centre (AUSTRAC) authority to restrict or prohibit these kiosks.
The legislation, expected to be introduced to Parliament in the coming months, aims to give AUSTRAC the capacity to respond to high-risk products without outright banning them immediately.
This is a measure designed to withstand potential legal challenges. Burke emphasized that cash-to-crypto transactions are difficult to trace, heightening risks of illicit activity.
AUSTRAC has been steadily increasing pressure on crypto ATM operators since late 2023.
The agency revoked one operator’s license in June and imposed $5,000 transaction caps across the sector alongside enhanced customer due diligence measures.
The regulatory crackdown seeks to prevent the machines from facilitating fraud, scams, or money laundering.
However, while the crackdown targets ATMs, Australia’s financial regulators are taking a more flexible approach to stablecoins.
The Australian Securities and Investments Commission recently granted relief to intermediaries distributing crypto from licensed Australian issuers, allowing them to operate without separate financial services licences.
Experts noted this pragmatic stance balances innovation with oversight.
