On October 21, 2024, the former CEO of Australian-based cryptocurrency exchange ACCE Australia Pty Ltd, trading as "Mine Digital," Grant Colthup, appeared before the Ipswich Magistrates Court on fraud charges following an investigation by the Australian Securities and Investments Commission (ASIC). The charges involve an alleged $1.4 million USD cryptocurrency transaction from July 2022.
ASIC alleges that in July 2022, a customer paid $1.4 million USD to ACCE for Bitcoin, but the cryptocurrency was never delivered. According to ASIC, Colthup allegedly redirected the funds to pay ACCE's liabilities or to purchase cryptocurrency for other parties. The charges fall under section 408C of Queensland’s Criminal Code 1899, which deals with fraud offenses.
In 2021, Colthup wrote an article for the financial website Canstar titled “How to Spot Bitcoin Scams,” advising readers to verify a cryptocurrency platform’s licensing and to avoid sharing personal data. The ASIC investigation suggests potential inconsistencies with these standards on his own platform.
The case against Colthup coincides with increased scrutiny of cryptocurrency exchanges worldwide. On November 6, 2024, the Polish Financial Supervision Authority (KNF) placed Crypto.com, a major cryptocurrency exchange, on its public warning list for suspected violations of Polish financial regulations. Foris DAX MT Limited, operating under the Crypto.com brand, is now subject to proceedings by the District Prosecutor’s Office in Warsaw.
The KNF’s list serves as a warning to potential investors about entities under investigation for possible financial misconduct, including fraud or regulatory breaches. Crypto.com joins other exchanges on the KNF's list, such as BitBay (now Zonda Global) and Kanga Exchange.
Mine Digital, operated by ACCE Australia Pty Ltd, functioned as a cryptocurrency trading platform from May 2019 until it went into administration in September 2022. The company has experienced financial difficulties, and on December 1, 2022, Brad Tonks of PKF was appointed as the liquidator.
According to Reuters, the global cryptocurrency market cap reached $2.2 trillion by October 1, 2024, up from $8.3 billion at the beginning of 2023.
In 2023, Binance and Coinbase expanded their compliance programs to align with global regulatory standards. Binance invested $213 million in compliance, including AI tools and new hires, with plans to add 170 compliance professionals by the end of the year. Coinbase has also been working with regulators to establish clear and compliant practices, securing licenses in various countries.