Transak, a fiat-to-crypto solutions provider, has received its Digital Currency Exchange (DCE) license from the Australian Transaction Reports and Analysis Centre (AUSTRAC), the chief regulatory body of the country’s crypto landscape, according to the reports shared with Finbold on Thursday, March 6.
Similar to a Virtual Asset Service Provider (VASP) license in other regions, the registration enables Transak to offer its services as a fully compliant and transparent digital currency exchange in Australia.
Transak’s DCE registration
Primarily, the DCE registration ensures that Transak observes all anti-money laundering (AML) and counter-terrorism financing (CTF) regulations in the country.
Picks for you
As nearly one in three Australian adults is involved with digital assets in some capacity, the demand for regulated and secure crypto solutions is constantly on the rise.
Thus, the AUSTRAC registration comes at the right time for Transak, addressing consumer protection and regulation concerns and helping the platform establish a presence in a major global fintech market.
Transak is also already running its global operations with licenses in other major markets, including the UK, US, EU, Canada, and India.
James Young, Head of Compliance at Transak, highlighted the significance of the license, stating:
“Receiving AUSTRAC’s Digital Currency Exchange registration is a significant achievement for Transak. This approval validates our dedication to compliance, security, and consumer protection. Australia is a key market for us, and we look forward to working closely with regulators to support the country’s rapidly growing digital asset ecosystem.”
Cryptocurrency adoption in Australia
Australia is a global leader in cryptocurrency adoption, especially among younger investors, with a 2023 survey even suggesting that 57% of crypto holders in the country were ages 25–44.
However, regulatory uncertainties are still a major obstacle to wider-scale adoption.
With its efforts to obtain operational licenses, Transak seeks to remove such obstacles by providing a transparent fiat-to-crypto gateway and promoting crypto as a viable alternative to fiat currencies.
In addition, the AUSTRAC registration also allows Transak to offer custom payment solutions to Australian fintech companies and institutional clients.
