The revelation of an AUSTRAC investigation into Airwallex is a major blow for the Australian unicorn, which has been trying to build on the momentum of its December capital raise and finally move past the controversies that have long dogged it.
While Airwallex welcomed the audit and remains confident it is complying with the anti-money laundering and counter-terrorism financing (AML/CTF) regime, it’s no great surprise the regulator has taken a closer look.
The financial crimes regulator has become increasingly concerned about fintechs and global remitters like Airwallex, which have expanded rapidly and now collectively process more than USD1 trillion ($1.5 trillion) in payments each year.
As Capital Brief reported just two weeks ago, AML/CTF fines for the ragtag group of payments companies have soared over the last decade hitting an estimated USD2.5 billion in 2024.
