Australian crypto exchange Cointree has paid an infringement notice of $75,120 after allegedly failing to meet reporting deadlines for suspicious matter reports (SMRs), regulator AUSTRAC said on Friday.
Crypto Exchange Provider Cointree Issued $75k in Infringement Notices By AUSTRAC
The penalty was issued under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006. It follows Cointree’s voluntary disclosure that it had not submitted SMRs within the required timeframes.
AUSTRAC CEO Brendan Thomas said, “SMRs provide AUSTRAC and our law enforcement partners with information about suspected misuse of the financial system and this information goes on to trigger countless criminal investigations each year.”
He added that failing to submit reports on time undermines law enforcement efforts, and that timely SMR reporting “forms the backbone of our intelligence function.”
AUSTRAC acknowledged Cointree’s cooperation and said the exchange is taking steps to remediate its systems to avoid future breaches.
“Without these steps, Cointree may have been subject to a much more serious regulatory response,” Thomas said.
AUSTRAC said Cointree’s payment concludes the matter but does not constitute an admission of liability.
The regulator also warned that the digital currency exchange (DCE) sector remains vulnerable to money laundering due to its speed, pseudonymity and global reach. The 2024 Money Laundering in Australia report identified DCEs as a key risk area.
“The DCE sector is undergoing rapid growth and we have significant concerns about some DCE’s capacity for and commitment to AML/CTF compliance,” added Thomas. “Addressing heightened risk in the sector is a regulatory priority for AUSTRAC and we are focusing on DCE compliance across 2025.”
