Australia's financial intelligence agency, AUSTRAC, has mandated Airwallex to hire an external auditor to assess its compliance with anti-money laundering (AML) and counter-terrorism financing (CTF) laws. The agency's concerns stem from the belief that Airwallex's transaction monitoring systems have not adapted to its growing risk profile. The audit will specifically evaluate whether the company has properly tracked transactions, identified customers, reported suspicious activities, and maintained sufficient oversight from January 2024 to the present. AUSTRAC's enforcement notice, signed by Bradley Brown, requires Airwallex to engage an auditor within 14 days and submit findings within 180 days. The agency will scrutinize how well Airwallex identifies financial crimes, including fraud and drug trafficking, and whether its senior management adequately oversees compliance obligations. This action comes at a challenging time for Airwallex, which just announced the acquisition of South Korean payment firm Paynuri, positioning itself to tap into the Korean market. Previously, Airwallex has faced regulatory issues but continued to expand aggressively. The company recently completed a Series G funding round that valued it at $8 billion and reported significant growth, with $1.2 billion in annualized revenue and a 71% increase in transaction volume year-over-year. This audit follows similar actions within Australia's fintech sector, raising questions about compliance practices across the industry. The results will influence whether further regulatory measures against Airwallex are necessary.