The Australian Securities and Investments Commission (ASIC) has issued updated guidance clarifying how existing laws apply to digital assets, providing greater regulatory certainty for firms and enhanced protections for investors.
The regulator also announced transitional measures ahead of the Federal Government’s proposed law reforms.
In its updated guidance, ASIC confirmed that products such as stablecoins, wrapped tokens, tokenised securities, and digital asset wallets are considered financial products under current legislation.
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,”
he added.
To allow firms time to comply, ASIC has introduced a sector-wide no-action position until 30 June 2026.
The regulator also intends to provide transitional relief for distributors of stablecoins and wrapped tokens, and certain custodians of digital assets that are financial products.
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