Australia penalizes Cointree for delayed cryptocurrency disclosures.

AUSTRAC has penalized Cointree with a fine of A$75,120 for not submitting suspicious activity reports on time. Although Cointree reported the issue voluntarily and collaborated with the authorities, AUSTRAC enforced the fine to ensure adherence to regulations in Australia’s cryptocurrency industry. The total fine levied on the Melbourne-based crypto exchange was A$75,20143. What is the reason? Submitting Suspicious Matter Reports (SMRs) late—these are reports that are required when there are suspicions of illicit activities like money laundering or terrorist financing. Some may believe that if someone has already acknowledged their wrongdoing and cooperated, they should be in a secure position, correct? However, that is not actually true. Despite Cointree’s self-reporting and assistance in the investigation, AUSTRAC maintained that reports needed to be submitted promptly, requiring money laundering reports within three working days and terrorism financing reports within just 24 hours. Picture this: a week goes by and a report surfaces regarding a serious crime, but the suspect has already fled the scene. Naturally, Cointree didn’t remain passive. They rapidly enhanced their internal processes, strengthened their control systems, and focused on preventing similar incidents from happening again. Unfortunately, that was not enough to lift the sanctions. Regulatory challenges and the cryptocurrency landscape in Australia.