ASIC Sets September Deadline for Digital Asset Licensing
Australia is bringing more digital asset businesses within its established financial-services regulatory framework, raising the compliance stakes for trading platforms and other providers. The Australian Securities and Investments Commission, or ASIC, has made clear that firms offering products or services covered by existing financial laws may need an Australian financial services licence, commonly known as an AFS licence, to continue operating lawfully.
ASIC has issued a final call to digital asset firms relying on current licensing relief, requiring them to apply for an AFS licence or vary an existing licence by Sept. 30, 2026. Businesses that continue providing regulated financial services without the appropriate authorisation after the deadline could breach Australian financial-services law and face enforcement action, making the cutoff a critical operational and legal milestone for the industry.
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After Australia brought some digital asset activities under financial-services regulation, affected companies are generally required to apply to the Australian Securities and Investments Commission, or ASIC, for an Australian financial services license. The licensing requirements cover client assets, risk management and disclosures, making the transition arrangements critical to whether companies can continue operating while adapting to the rules.
ASIC said it had extended its no-action period for digital asset companies seeking licenses until September 30 and broadened the range of businesses covered. The regulator said the move would give companies more time to understand its updated regulatory guidance, assess their licensing obligations and prepare their applications.
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