Operators are being told to strengthen identity checks, add clear scam warnings on the machines, and file more reports when activity looks suspicious. AUSTRAC has set up a task force to inspect providers and press compliance where it is missing.
About 99% of those are cash deposits. In Tasmania, police say 15 people lost a combined AUD2.5 million in recent schemes and one person lost about AUD750,000; the average age of victims in that case was about 65.
Many of the cases involve callers who pressure or trick victims into sending cash to a machine and then transferring the funds overseas.
Police and AUSTRAC have been refusing renewals for noncompliant operators and running targeted investigations. Still, enforcement faces limits.
The number of machines has ballooned — estimates put them at roughly 1,600–1,800+ across the country — and some providers were found not to be doing proper identity checks or transaction monitoring.
Once cash is converted and moved on-chain, it is often hard to reverse. Funds can be mixed, sent through multiple wallets or routed abroad. That makes recovery difficult, especially when recipient addresses tie into overseas services that do not cooperate with Australian authorities.
Regulators warn that while ATMs have legitimate uses — for people who prefer cash or lack access to online services — the machines’ anonymity and instant transfers create a high abuse risk.
Featured image from Unsplash, chart from TradingView
