In this edition, we take a break from following US President Trump’s second term in office and its impact on the crypto industry. Instead, we look at news stories from elsewhere in the world and discuss what impact these developments could have on crypto exchanges, compliance teams, regulators and investigators.
We first go down south, where the Australian Transaction Reports and Analysis Center (AUSTRAC) issued warnings to more than 50 crypto exchanges and remittance service providers about possible anti-money laundering (AML) compliance issues.
The next stop is India, where the country’s anti-money laundering agency, the Enforcement Directorate (ED) froze millions of dollars’ worth of cryptocurrencies as part of its BitConnect probe.
Finally, in Italy, cryptocurrency firm Tether bought a minority stake in the topflight football club, Juventus.
Learn more about these stories below.
AUSTRAC warns over 50 crypto exchanges and remittance providers of AML compliance issues
Australia’s anti-money laundering regulator, AUSTRAC, announced on February 17, 2025, that it had taken steps against 13 crypto exchanges and remittance services, and had over 50 investigations open for possible AML and compliance violations.
The announcement came after a year-long operation against the non-reporting and under-reporting of suspect transactions in the digital currency exchange (DCE) sector. Other highlights of the blitz included:
- Suspending or not renewing the licensing of nine service providers who had fallen short of honoring the provisions of the Anti-Money Laundering and Counter-Terrorism Financing Act.
- Charging, prosecuting, or convicting prominent employees at five exchanges or service providers.
- Re-registering two exchanges “with conditions” for not meeting their registration requirement deadlines.
- Removing two now-insolvent companies from the DCE Register.
According to the AUSTRAC statement, 417 crypto exchanges and 5,112 remittance companies are registered in the country, of whom 106 have been issued warnings since January 2024. Meanwhile, Australia has the third-highest number of digital currency ATMS in the world, with over 1,450.
AUSTRAC CEO Brendan Thomas said of the operation that “AUSTRAC’s reporting entities are the front line of defense in detecting criminal activity, which is why it is important for all of them to take their AML/CTF obligations seriously.”
In Australia, penalties for being convicted of money laundering offenses can vary from prison terms of up to ten years and/or fines of up to AUS$100K. However, if the laundered amount exceeds AUS$644,400, sentences can go up to 25 years of jail time and/or fines as high as $214,585.
The Australian authorities take the responsibility of safeguarding their financial system—both in traditional and digital finance—very seriously. Consequently, sentences, penalties, and fines reflect this commitment. Compliance teams must pay attention and ensure that their AML/CTF regimes and KYC procedures align with regulatory requirements to avoid severe consequences.
Find out more about this story at Cointelegraph.
Indian anti-money laundering and financial crime agency freezes $189M in crypto in $2.4B probe
The Indian Ministry of Finance’s Directorate General of Economic Enforcement (ED) has frozen $189M as part of its $2.4B probe into the Bitconnect scam, a Ponzi scheme-style crypto investment fraud perpetrated between 2016 and 2018.
In raids conducted in the western Indian state of Gujarat, the ED, which undertook the operation under the mandate of The Prevention of Money Laundering Act, also seized:
- The equivalent of $15,500 in cash
- A luxury SUV
- Various digital devices, which could yield further evidence of digital wrongdoing.
The ED originally deployed tech-savvy investigators to unravel the intricate BitConnect scam in 2022. This resulted in the arrest of the company owner, Satish Kumbhani, who was also indicted by the US Department of Justice. The investment scheme was both fraudulent and unregistered, luring investors in with false promises of quick, high returns. He faces up to 70 years in prison if convicted.
The complexity of the scam reminds us of the challenges that regulatory and investigative entities face. The Indian ED team should be commended for their dogged determination, and criminals should be well-warned that they will be brought to book.
Find out more about this story at Hindustan Times.
Tether acquires minority stake in topflight Italian football club Juventus
The stablecoin giant, Tether, announced its acquisition of a minority share in the Serie A Italian football club, Juventus on February 14, 2024.
Although Tether did not disclose the value of its investment, the market responded favorably, with Juventus shares increasing by 4.7% before settling at €2.76 on February 18.
Tether said it “is looking at its strategic investments in sports franchises worldwide and integrating its digital assets, payments, and newly acquired AI and biotech expertise into the sports industry and assembling a top-tier advisory team for this initiative.” Tether has also had football-related partnerships with Sunderland AFC in the UK, and FC Lugano in Switzerland.
The Turin-based Juventus, currently lying fifth on the Serie A log, is 64% owned by the Agnelli family, who have been involved with the club for almost a century. A stalwart of Italian and European football, Juventus was rocked in the 2023/24 season by a scandal involving ‘player trading and salary payments’, resulting in a European competition ban.
Investors and regulators alike should note how crypto firms are continuing to diversify their investment portfolios into the traditional finance system, including in professional sports. This demonstrates the increased acceptance and integration of our industry into the traditional economy.
The immediate rise in Juventus’s share price following the announcement suggests market sensitivity to crypto-related news.
It’s likely regulators will pay attention too – aiming to protect investors from potential volatility induced by crypto investments. Meanwhile, the undisclosed sum of the share purchase could raise queries about the source of funds when such transactions are made with cryptocurrencies.
Find out more about this story at Reuters.
