x
Black Bar Banner 1
x

Welcome to Markethive

Australian Federal Police Rolls Out Dedicated Crypto Unit

Posted by Andries Van Tonder on September 06, 2022 - 8:36am

Australian Federal Police Rolls Out Dedicated Crypto Unit

A team dedicated to tracing and seizing cryptoassets used by criminals will form part of the Criminal Assets Confiscation Taskforce.

By Jason Nelson

Cryptocurrencies and Australia. Image: Shutterstock.

The Australian Federal Police has set up a dedicated unit for tracing and seizing cryptocurrency linked to criminal activity, operating as part of its Criminal Assets Confiscation Taskforce (CACT).

The national manager of the CACT, Stefan Jerga, told the Australian Financial Review that the taskforce felt a standalone team was necessary to tackle the growing use of crypto by criminals, “rather than a lot of officers picking up some of this skill set as part of their overall role.”

The crypto unit, set up in August, has a dual role of targeting assets as well as “providing that valuable, investigative tracing capability and lens for all of our commands,” said Jerga. “The ability to trace cryptocurrency transactions across the relevant blockchains is really, really important,” for areas including national security, child protection, and cyber, he added.

Jerga’s remarks came as the Australian Federal Police announced that the CACT had confiscated over AU$600 million ($408 million) in illicit funds and property, including AU$35 million ($23.8 million) in vehicles, artworks, and cryptocurrency, since 2020.

According to the Australian Federal Police, in February 2020, confiscation became a top priority for the CACT; with a target figure of AU$600 million seized by 2024, it is running two years ahead of schedule.

Australian law enforcement and crypto

Cryptocurrency has recently been a significant focus for Australian lawmakers and enforcement agencies. Last month, the Australian treasury announced a multi-step plan to establish a crypto regulatory framework.

The framework aims to be more thorough and informed and includes what the treasury calls "token mapping," allowing government officials to track trends in the Australian crypto market.

Global policymakers have pointed to the use of cryptocurrency by cybercriminals to call for regulations and bans on digital assets. Last month, the U.S. Treasury Department added Ethereum mixing service Tornado Cash to its Specially Designated Nationals list, citing its use in money laundering by cybercriminal groups, including the North Korean Lazarus Group.

In June, a report from the U.S. Department of Justice called for federal agencies to share more information on the use of crypto by criminals with foreign law enforcement agencies. The report noted that crypto transactions are “permanently recorded” on the blockchain, creating opportunities for law enforcement to “follow the money in ways that are not possible with traditional financial systems.”

Andries Van Tonder Thank you Neal, yes a standalone team was necessary to tackle the growing use of crypto by criminals....
September 7, 2022 at 8:51am
The Neal and Janet Brown Family Trust It would indeed be awesome if the investors that lost crypto to criminals were able to recover their losses via the police. The crypto industry has huge financial impact on the world and is going to grow astronomically once we're firmly in a bull market for stocks, bonds, real estate, and of course crypto.
September 7, 2022 at 6:40am
Andries Van Tonder Lets hope so Simon, thanks for reading it
September 6, 2022 at 11:16am
Simon Keighley Let's hope the people who lose money get refunded when the task force seizes the crypto-assets - thanks for sharing the news, Andries.
September 6, 2022 at 10:23am