CoinDesk
Australia's corporate regulator has given crypto firms relying on its temporary relief until September 30 to secure a financial services license or face civil and criminal penalties. The Australian Securities and Investments Commission (ASIC) said businesses that miss the deadline could be operating in breach of financial services law from October 1 onward. Penalties under the regime include fines of up to 10% of annual turnover. ASIC has fielded more than 45 applications from crypto businesses seeking relevant authorizations since it updated its INFO 225 digital asset guidance in October 2025.
Why it matters
The deadline marks a hardening of Australia's stance toward crypto as it folds the sector under rules that already govern financial products and services. ASIC's no-action position had given firms interim cover while the regulator worked out how existing financial laws applied to digital assets, but the relief is expiring as ASIC prepares the ground for the Corporations Amendment (Digital Assets Framework) Act 2026, which takes effect April 9, 2027. Firms that fall under the new framework will still need their existing financial services authorizations after that date, meaning the September 30 deadline is the first of several regulatory pinch points.
Market impact
Australian-licensed venues, custodians and tokenization platforms now face a hard cutover with concrete downside: a missed filing triggers breach-of-financial-services-law exposure rather than a quiet warning. Fines scaling to 10% of annual turnover put the ceiling well above what most regulated entities carry in compliance budgets, making the licensing race effectively mandatory for any firm that wants to keep operating. The 45-plus applications ASIC has logged since October 2025 suggest the sector is responding, but firms still on interim relief have roughly two months to either land an AFS license, vary an existing one, or wrap themselves in an authorized-representative or intermediary arrangement with a license holder. Those needing an Australian Market Licence or a Clearing and Settlement facility license also have to notify ASIC and hold a pre-application meeting by September 30.
Frequently asked questions
-
What is ASIC's September 30 deadline for crypto firms?
Crypto firms relying on ASIC's no-action relief must apply for an Australian Financial Services license, vary an existing one, or arrange authorized-representative coverage by September 30 or face breach of financial services law from October 1.
-
What penalties do crypto firms face if they miss the deadline?
Firms operating without required licenses from October 1 onward face civil or criminal penalties under financial services law, with fines scaling up to 10% of annual turnover, according to ASIC.
-
How many crypto firms have applied for ASIC licenses?
ASIC has received more than 45 applications from crypto businesses seeking relevant authorizations since it updated its INFO 225 digital asset guidance in October 2025.
-
What is the Corporations Amendment (Digital Assets Framework) Act 2026?
The Act takes effect on April 9, 2027 and brings crypto and tokenized custody platforms under Australia's existing financial services licensing regime, with further standards and guidance expected from ASIC before that date.
-
What licensing options do crypto firms have before September 30?
Firms can apply for a new AFS license, vary an existing one, operate under an authorized-representative or intermediary-authorization arrangement with an AFS license holder, or notify ASIC and hold a pre-application meeting if they need an Australian Market Licence or Clearing and Settlement facility license.
CryptoSlate
WuBlockchain
CoinTelegraph