ASIC has today clarified how existing laws apply to digital assets, giving investors improved protections and providing firms with greater certainty to operate and innovate. ASIC also confirmed transitional support ahead of proposed law reforms.
Stablecoins, wrapped tokens, tokenised securities and digital asset wallets are among the digital asset products that ASIC considers to be financial products in its updated guidance.
ASIC Commissioner Alan Kirkland said, 'Distributed ledger technology and tokenisation are reshaping global finance. ASIC's guidance provides the regulatory clarity that firms have been calling for to innovate confidently in Australia.
'Many widely traded digital assets are financial products under current law - and will remain so under the Government's proposed law reform - meaning many providers require a financial services licence. Licensing ensures consumers receive the full suite of protections under the law and allows ASIC to act when poor practices lead to harm.
'We recognise that firms will need time to consider the updated guidance and apply for licences, so ASIC has granted a sector-wide no-action position until 30 June 2026. ASIC also proposes to provide relief for stablecoin and wrapped token distributors to smooth the transition to proposed law reform.'
ASIC has made an in-principle decision to grant proposed regulatory relief for distributors of certain stablecoins and wrapped tokens, and certain relief for custodians of digital assets that are financial products. Feedback is invited on the draft relief instruments until 12 November 2025.
ASIC also released today a summary of feedback themes from submissions to Consultation Paper 381 Updates to INFO 225: Digital Assets: Financial Products and Services (CP 381). Feedback from the consultation informed the no-action position, and ASIC's decision to provide the proposed relief and include additional examples in the guidance.
ASIC will also factor in the current no-action position when considering historical conduct but will continue to act against egregious conduct where we see significant consumer harm or widespread systemic misconduct.
