Australia’s anti-money laundering regulator has suspended the virtual asset service provider registration of Cryptolink for three months, forcing the operator’s network of Bitcoin ATMs to cease operations. The suspension took effect on Sunday and stems from failures to meet core reporting duties and a lack of response to an official information request.

Suspension Details and Official Concerns

AUSTRAC CEO Brendan Thomas confirmed that Cryptolink’s registration has been halted, preventing the company from running its crypto ATMs during the three-month period. The agency stated that Cryptolink did not satisfy basic reporting requirements, with particular shortcomings in threshold transaction reports. The firm also failed to answer a request for information from the regulator.

Cryptolink operates 96 machines that allow customers to exchange cash for Bitcoin. Most are situated in major cities including Sydney, Melbourne and Brisbane. The suspension means these ATMs cannot function while the order remains in force.

Earlier Enforcement Actions

The latest step follows prior regulatory measures. In October 2025, Cryptolink entered into an enforceable undertaking with AUSTRAC after the agency’s Cryptocurrency Taskforce identified alleged breaches. Those issues included late transaction reporting and deficiencies in the company’s risk assessments. AUSTRAC also issued an infringement notice for $56,340, which Cryptolink paid.

Authorities have increased scrutiny of crypto ATMs since late 2024 amid concerns about their potential use in money laundering and other financial crime. Australia holds the largest number of such machines in the Asia-Pacific region, prompting sustained attention from regulators seeking stronger compliance with anti-money laundering rules.

Broader Regulatory Context

The action against Cryptolink forms part of a wider effort to tighten oversight of automated cash-to-crypto services. Regulators have previously introduced measures such as cash transaction limits and enhanced customer due diligence requirements for ATM operators. These steps aim to limit opportunities for illicit activity while maintaining legitimate access to digital assets.

Cryptolink had not issued a public response to the suspension at the time of reporting. The three-month period will test the company’s ability to address the specific reporting and risk-management gaps identified by AUSTRAC before any possible restoration of its registration.