Transak, a global fiat off-ramp service provider, has received its Digital Currency Exchange registration (DCE), marking an important step forward in the company’s international expansion.
AUSTRAC (Australian Transaction Reports and Analysis Centre) granted the company its DCE registration, allowing the exchange to be fully compliant in Australia.
Transak is required to obtain a regulatory approval similar to that of a Virtual Asset Service Provider in Australia.
Transak has now secured AUSTRAC registration and can offer Australians an AUSTRAC compliant way to buy crypto. This will address concerns about regulatory uncertainty, consumer protection, as well as the need for a secure gateway.
“This approval validates our dedication to compliance, security, and consumer protection,” James Young is the Head of Compliance for Transak. He said that Australia was a “key market” Transak is a firm that will not be able to survive without the support of its employees. “working closely with regulators to support the country’s rapidly growing digital asset ecosystem.”
“This milestone also opens opportunities for Transak to serve Australian fintech platforms, institutional clients, and individual users with localized, cost-effective, and efficient payment solutions,” Transak stated in a release.
Transak also continues to enhance its regulatory presence within the U.S.
Money Transmitter Licenses have been obtained by the company in Illinois and Missouri. This allows it to facilitate direct crypto-transactions in both states.
Australia and Crypto
Swyftx, a crypto-exchange, conducted a study in 2023 that found Australia’s crypto adoption to be growing. In particular, those between the ages of 25 and 44 are increasingly interested in digital assets.
The crypto industry in Australia is under increasing scrutiny, which has led to the need for more regulatory clarity.
AUSTRAC took action last month against 13 companies for non-compliance in the sector of digital currency exchange.
In the course of an investigation lasting a full year, over fifty other companies are being investigated for possible violations.
The Australian Competition and Consumer Commission, Australia’s consumer watchdog (ACCC), is also concerned about potential dangers of laxer regulations in countries such as the U.S.
ACCC chair Gina Cass Gottlieb warned that scams could increase targeting Australians who are vulnerable. "looseness" A “horror scenario.”