The Australian Transaction Reports and Analysis Centre (AUSTRAC) has ordered Binance Australia, officially registered as Investbybit Pty Ltd, to appoint an independent external auditor to review its anti-money laundering and counter-terrorism financing (AML/CTF) controls.
Regulatory action in Australia
According to Reuters, the regulator cited several risk factors, including high staff turnover, a lack of local compliance oversight, and weaknesses in governance structures. Binance has 28 days to propose independent auditors, after which AUSTRAC will make the final selection.
This decision highlights the growing global scrutiny on large crypto exchanges, as governments demand stronger safeguards against money laundering and illicit finance.
Binance’s response
In a statement, Binance said it accepted the regulator’s decision and pledged full cooperation. The company characterized the audit as a supervisory measure rather than punitive enforcement, reaffirming its commitment to Australian compliance standards.
Broader implications
As reported by Cinco Días, this move adds to Binance’s mounting regulatory challenges worldwide. The exchange has already faced lawsuits and investigations in the U.S. and Europe, with authorities tightening oversight of digital asset platforms.
For investors, the AUSTRAC order could have implications for user confidence and trading activity in regulated jurisdictions, while also setting a global precedent for stricter exchange oversight.
Sources: Reuters, Cinco Días
