AUSTRAC releases 2 new guides to help spot illicit crypto use

cointelegraph.com:

Australian financial compliance enforcement agency AUSTRAC has released two new guides to help entities to spot when customers are using crypto for illicit means, or when they are being forced to pay the creators of ransomware.

But it warned that debanking customers merely on suspicion of such activity was a harmful practice with serious negative effects.

In an announcement posted earlier today, AUSTRAC noted that the growing acceptance, value and adoption of crypto and blockchain tech has been accompanied by an increase in cybercrime.

“Cyber-enabled crime is an increasing threat to Australians. According to the Australian Cyber Security Centre (ACSC), 500 ransomware attacks were reported in the 2020-21 financial year, an increase of nearly 15 percent from the previous year,” AUSTRAC stated.

The ransomware and “criminal abuse of digital currencies” guides are not only designed to help spot bad actors, but also to make it easier to report suspicious activity to AUSTRAC — something which businesses must do after reporting the matter to the police.

Blockchain Australia CEO Steve Vallas welcomed the new guides, stating that the “use of digital currencies for criminal purposes has no place in our sector.”

In the ransomware guide, AUSTRAC highlighted multiple indicators that a customer may be quickly trying to pay a ransom. The list included behaviors such as impatience over the speed of transactions, sudden large transactions from newly onboarded businesses and transfers of one's entire holdings with a lack of account activity afterward.

While the indicators might seem obvious, AUSTRAC pointed out that most “victims are often reluctant to report” as they are looking to get their businesses out of the clutches of attackers and up