Aug 22, 11:33 AM

AUSTRAC Orders Binance Australia Audit Amid AML Control Concerns

Australia’s financial intelligence agency, the Australian Transaction Reports and Analysis Centre, directed Binance Australia on 22 August to appoint an independent external auditor, citing “serious concerns” about the crypto exchange’s anti-money-laundering and counter-terrorism-financing systems. The platform has 28 days to nominate an auditor acceptable to the regulator. AUSTRAC said a recent internal review at Binance was too limited for a business of its size and risk profile, and highlighted high staff turnover, insufficient local resourcing and weak senior-management oversight. Chief Executive Brendan Thomas warned that global firms operating in high-risk sectors must tailor safeguards to Australian rules, adding that AUSTRAC expects “robust customer identification, due diligence and effective transaction monitoring.” Binance Australia & New Zealand General Manager Matt Poblocki said the company has been engaging “openly and transparently” with AUSTRAC and remains committed to “best-in-class compliance standards.” The enforcement action extends a string of regulatory setbacks for Binance’s parent group; founder Changpeng Zhao last year pleaded guilty in the United States to violating AML laws and served a four-month prison sentence.