Australia Orders Binance Audit, Flagging ‘Serious Concerns’

The Australian financial crimes agency has ordered Binance Holdings Ltd.'s local arm to undergo an external audit due to "serious concerns" regarding the cryptocurrency exchange's anti-money laundering and counter-terrorism financing controls. The agency, the Australian Transaction Reports and Analysis Centre (AUSTRAC), highlighted these concerns after conducting an assessment of Binance Australia's compliance with relevant regulations. The audit will aim to evaluate the effectiveness of Binance's systems and controls in addressing the identified issues. The announcement comes amid growing regulatory scrutiny of the crypto industry globally, with authorities seeking to ensure appropriate safeguards are in place to prevent illicit activities. Binance, one of the world's largest crypto exchanges, has faced regulatory challenges in various jurisdictions in recent years. The outcome of the audit and Binance's subsequent actions to address AUSTRAC's concerns will be closely watched, as the case underscores the ongoing efforts to strengthen oversight and compliance in the rapidly evolving cryptocurrency market.