![\"News](\"https:\/\/www.complycube.com\/wp-content\/uploads\/2026\/09\/ukrainian-crypto-scam-targets-20-countries-1024x577.png\")
<\/figure>\n\n\n\nA crypto drainer can be potent. It uses advanced fake websites to lure users into connecting their wallets, draining funds instantly. Over $1 million was stolen from victims in a month. Ukrainian regulators have identified 62 victims so far, and confirmed over 46 citizens operating in the network.<\/p>\n\n\n\n
Compliance Takeaway:<\/em><\/h3>\n\n\n\nCrypto scams often rely on highly convincing impersonation. This can make Know Your Customer (KYC) alone insufficient. As such, adopting a multi-layered approach is crucial to preventing fraud and money-laundering risks. This includes transaction screening, device intelligence<\/a>, and mobile verification, which use multiple risk signals to flag potentially suspicious destinations.<\/p>\n\n\n\nFor more on this story, click here<\/a>.<\/p>\n\n\n\nIndia Blocks 15 Virtual Digital Asset Service Providers (VDASPs)<\/h2>\n\n\n\n
India, September 9, 2026 \ud83c\uddee\ud83c\uddf3: India\u2019s Financial Intelligence Unit (FIU) issued a formal warning to 15 VDASPs after finding out that these firms did not comply with the country\u2019s Prevention of Money Laundering Act, 2002 (PMLA) regulations. These firms include Weex, BloFin, RezorEx, and more.<\/p>\n\n\n\n![\"Image](\"https:\/\/www.complycube.com\/wp-content\/uploads\/2026\/09\/india-targets-crypto-firms-1024x640.png\")
<\/figure>\n\n\n\nNotably, most of these companies do not have physical offices in India. Instead, they operate globally, serving customers worldwide, including in India. While the exact violations have not been stated explicitly, this case signals India\u2019s strong stance around businesses operating in the crypto sector.<\/p>\n\n\n\n
Compliance Takeaway:<\/em><\/h3>\n\n\n\nFor global firms, this case highlights growing concern about generic AML\/KYC processes. Businesses operating offshore must still map obligations by customer jurisdiction, not office location. Notably, Policy Assurance<\/a> and Custom AML Risk Engine<\/a> solutions let businesses tailor risk factors at a granular level while ensuring compliance in each jurisdiction.<\/p>\n\n\n\nFor more on this story, click here<\/a>.<\/p>\n\n\n\nOngoing UK P2P Trading Crackdown<\/h2>\n\n\n\n
United Kingdom, September 17, 2026 \ud83c\uddec\ud83c\udde7: The Financial Conduct Authority (FCA), together with HM Revenue & Customs (HMRC) and the Metropolitan Police Service, issued formal cease-and-desist orders to three premises suspected of engaging in peer-to-peer (P2P) crypto trading.<\/p>\n\n\n\n
\nAnyone running an unregistered peer-to-peer crypto business should assume we are looking at them.<\/p>\n<\/blockquote>\n\n\n\n
In the UK, there are no P2P firms that are legally registered. This is because the country deems crypto a high-risk sector, with P2P trading often providing a quick and easy way to move illicit funds. <\/p>\n\n\n\n![\"News](\"https:\/\/www.complycube.com\/wp-content\/uploads\/2026\/09\/uk-cracks-down-on-illegal-p2p-trading-1024x577.png\")
<\/figure>\n\n\n\nFCA executive director of enforcement and market oversight Steve Smart notes, \u201cWorking with partners, we continue to track and disrupt illegal crypto activity. Anyone running an unregistered peer-to-peer crypto business should assume we are looking at them.\u201d<\/p>\n\n\n\n
Compliance Takeaway:<\/em><\/h3>\n\n\n\nUnregistered or cash-heavy P2P trading can be especially high-risk as it can conceal who is behind a transaction and the source of funds. For example, countries such as China and Bangladesh impose blanket restrictions on crypto trading. Firms that facilitate crypto trades should register under the appropriate jurisdiction and uphold source-of-funds checks, Customer Due Diligence (CDD), and regulatory reporting.<\/p>\n\n\n\n
For more on this story, click here<\/a>.<\/p>\n\n\n\nAustralia Refuses Renewal for 45 Virtual Asset Service Providers (VASPs)<\/h2>\n\n\n\n
Australia, September 7, 2026 \ud83c\udde6\ud83c\uddfa: The Australian Transaction Reports and Analysis Center (AUSTRAC) recently issued a powerful warning in a media release. In the past year, AUSTRAC has suspended or refused the renewal of 45 remittance and VASP registrations.<\/p>\n\n\n\n![\"Hero](\"https:\/\/www.complycube.com\/wp-content\/uploads\/2026\/09\/australia-suspends-45-crypto-firms-1024x577.png\")
<\/figure>\n\n\n\nIn Australia, firms must be registered to operate. According to reports, these 45 firms failed to meet AUSTRAC\u2019s mandates, including inadequate operational capacity to begin or continue trading and the inability to effectively identify and investigate money laundering or terrorism financing risk.<\/p>\n\n\n\n
In one case, the cryptocurrency service provider GetCoins had its registration canceled after customers complained to the National Anti-Scam Center (NASC). Investigations found that bad actors were targeting GetCoins to run crypto investment scams.<\/p>\n\n\n\n
Compliance Takeaway:<\/em><\/h3>\n\n\n\nAUSTRAC\u2019s sweeping action shows that registration is only the first step to implementing AML\/CTF controls. It does not automatically translate into defensible, effective systems. In this case, regulators may suspend or cancel a firm’s registration if fraudsters repeatedly exploit it, as this provides reasonable grounds to conclude the firm cannot operate at the required level.<\/p>\n\n\n\n
For more on this story, click here<\/a>.<\/p>\n\n\n\nCrypto ATM CoinFlip Fined Over $1M for Poor Compliance Controls<\/h2>\n\n\n\n
United States, September 3, 2026 \ud83c\uddfa\ud83c\uddf8: The Washington State Department of Financial Institutions (DFI) ordered a $1,029,600 fine against CoinFlip after investigations found significant lapses in the crypto kiosk’s compliance and risk management processes.<\/p>\n\n\n\n![\"Hero](\"https:\/\/www.complycube.com\/wp-content\/uploads\/2026\/09\/coinflip-aml-compliance-fine-1024x577.png\")
<\/figure>\n\n\n\nThis is particularly harmful because 50% of its customer base consists of senior citizens. Notably, the Federal Trade Commission reports that older adults are more likely to suffer losses ranging from tens of thousands<\/a> of dollars lost to scammers.<\/p>\n\n\n\nAccording to the DFI\u2019s Statement of Charges, CoinFlip violated multiple AML laws. This includes inadequate due diligence processes, and insufficient transaction monitoring. Additionally, the DFI seeks to revoke CoinFlip\u2019s license, particularly due to the severity of the violations.<\/p>\n\n\n\n
Compliance Takeaway:<\/em><\/h3>\n\n\n\nCrypto ATMs can be particularly high-risk because they allow anonymous, irreversible, and real-time cash-to-crypto conversions. That is why jurisdictions such as the FCA outright ban them. For crypto firms that provide remote services, basic identity verification may not detect high-risk activity. Instead, implementing strong Enhanced Due Diligence (EDD)<\/a> triggers, scam-specific transaction rules, and intervention before suspicious transfers are completed is crucial.<\/p>\n\n\n\n
For more on this story, click here<\/a>.<\/p>\n\n\n\n India, September 9, 2026 \ud83c\uddee\ud83c\uddf3: India\u2019s Financial Intelligence Unit (FIU) issued a formal warning to 15 VDASPs after finding out that these firms did not comply with the country\u2019s Prevention of Money Laundering Act, 2002 (PMLA) regulations. These firms include Weex, BloFin, RezorEx, and more.<\/p>\n\n\n\n Notably, most of these companies do not have physical offices in India. Instead, they operate globally, serving customers worldwide, including in India. While the exact violations have not been stated explicitly, this case signals India\u2019s strong stance around businesses operating in the crypto sector.<\/p>\n\n\n\n For global firms, this case highlights growing concern about generic AML\/KYC processes. Businesses operating offshore must still map obligations by customer jurisdiction, not office location. Notably, Policy Assurance<\/a> and Custom AML Risk Engine<\/a> solutions let businesses tailor risk factors at a granular level while ensuring compliance in each jurisdiction.<\/p>\n\n\n\n For more on this story, click here<\/a>.<\/p>\n\n\n\n United Kingdom, September 17, 2026 \ud83c\uddec\ud83c\udde7: The Financial Conduct Authority (FCA), together with HM Revenue & Customs (HMRC) and the Metropolitan Police Service, issued formal cease-and-desist orders to three premises suspected of engaging in peer-to-peer (P2P) crypto trading.<\/p>\n\n\n\n Anyone running an unregistered peer-to-peer crypto business should assume we are looking at them.<\/p>\n<\/blockquote>\n\n\n\n In the UK, there are no P2P firms that are legally registered. This is because the country deems crypto a high-risk sector, with P2P trading often providing a quick and easy way to move illicit funds. <\/p>\n\n\n\n FCA executive director of enforcement and market oversight Steve Smart notes, \u201cWorking with partners, we continue to track and disrupt illegal crypto activity. Anyone running an unregistered peer-to-peer crypto business should assume we are looking at them.\u201d<\/p>\n\n\n\n Unregistered or cash-heavy P2P trading can be especially high-risk as it can conceal who is behind a transaction and the source of funds. For example, countries such as China and Bangladesh impose blanket restrictions on crypto trading. Firms that facilitate crypto trades should register under the appropriate jurisdiction and uphold source-of-funds checks, Customer Due Diligence (CDD), and regulatory reporting.<\/p>\n\n\n\n For more on this story, click here<\/a>.<\/p>\n\n\n\n Australia, September 7, 2026 \ud83c\udde6\ud83c\uddfa: The Australian Transaction Reports and Analysis Center (AUSTRAC) recently issued a powerful warning in a media release. In the past year, AUSTRAC has suspended or refused the renewal of 45 remittance and VASP registrations.<\/p>\n\n\n\n In Australia, firms must be registered to operate. According to reports, these 45 firms failed to meet AUSTRAC\u2019s mandates, including inadequate operational capacity to begin or continue trading and the inability to effectively identify and investigate money laundering or terrorism financing risk.<\/p>\n\n\n\n In one case, the cryptocurrency service provider GetCoins had its registration canceled after customers complained to the National Anti-Scam Center (NASC). Investigations found that bad actors were targeting GetCoins to run crypto investment scams.<\/p>\n\n\n\n AUSTRAC\u2019s sweeping action shows that registration is only the first step to implementing AML\/CTF controls. It does not automatically translate into defensible, effective systems. In this case, regulators may suspend or cancel a firm’s registration if fraudsters repeatedly exploit it, as this provides reasonable grounds to conclude the firm cannot operate at the required level.<\/p>\n\n\n\n For more on this story, click here<\/a>.<\/p>\n\n\n\n United States, September 3, 2026 \ud83c\uddfa\ud83c\uddf8: The Washington State Department of Financial Institutions (DFI) ordered a $1,029,600 fine against CoinFlip after investigations found significant lapses in the crypto kiosk’s compliance and risk management processes.<\/p>\n\n\n\n This is particularly harmful because 50% of its customer base consists of senior citizens. Notably, the Federal Trade Commission reports that older adults are more likely to suffer losses ranging from tens of thousands<\/a> of dollars lost to scammers.<\/p>\n\n\n\n According to the DFI\u2019s Statement of Charges, CoinFlip violated multiple AML laws. This includes inadequate due diligence processes, and insufficient transaction monitoring. Additionally, the DFI seeks to revoke CoinFlip\u2019s license, particularly due to the severity of the violations.<\/p>\n\n\n\n Crypto ATMs can be particularly high-risk because they allow anonymous, irreversible, and real-time cash-to-crypto conversions. That is why jurisdictions such as the FCA outright ban them. For crypto firms that provide remote services, basic identity verification may not detect high-risk activity. Instead, implementing strong Enhanced Due Diligence (EDD)<\/a> triggers, scam-specific transaction rules, and intervention before suspicious transfers are completed is crucial.<\/p>\n\n\n\nIndia Blocks 15 Virtual Digital Asset Service Providers (VDASPs)<\/h2>\n\n\n\n
<\/figure>\n\n\n\nCompliance Takeaway:<\/em><\/h3>\n\n\n\n
Ongoing UK P2P Trading Crackdown<\/h2>\n\n\n\n
\n
<\/figure>\n\n\n\nCompliance Takeaway:<\/em><\/h3>\n\n\n\n
Australia Refuses Renewal for 45 Virtual Asset Service Providers (VASPs)<\/h2>\n\n\n\n
<\/figure>\n\n\n\nCompliance Takeaway:<\/em><\/h3>\n\n\n\n
Crypto ATM CoinFlip Fined Over $1M for Poor Compliance Controls<\/h2>\n\n\n\n
<\/figure>\n\n\n\nCompliance Takeaway:<\/em><\/h3>\n\n\n\n
![\"Banner:](\"https:\/\/www.complycube.com\/wp-content\/uploads\/2026\/07\/see-you-again-next-month-1-1024x577.png\")
<\/figure>\n\n\n","protected":false},"excerpt":{"rendered":"