Australia’s Draft Crypto Rules Seek Licensing Clarity
Australia’s government has proposed new crypto regulation to bring digital asset platforms under the Corporations Act. The draft introduces “digital asset platforms” and “tokenized custody platforms”, both requiring an AFSL license and ASIC registration. Over 80% of consultation respondents backed aligning crypto with financial-services rules.
Leading exchanges such as Swyftx, BTC Markets and Crypto.com support the move but warn that the draft lacks clarity on licensing standards, custody requirements and Treasury and ASIC powers. Stakeholders stress the need for clear rules on offshore liquidity, consumer protection and the role of financial advisers. CloudTech Group warns that delayed ASIC guidance could stall market growth.
Australia’s crypto market grew over 40% year-on-year. Industry figures predict the bill will be introduced in early 2026, with calls from Crypto.com Australia to pass it by March and concerns that further revisions may delay implementation into late 2026. Traders view timely crypto regulation as vital for market stability and investor confidence.
Neutral
In the short term, uncertainty over licensing standards and ASIC powers may keep trading volumes cautious. However, the move to formalise crypto regulation and require AFSL and ASIC registration offers long-term benefits by reducing legal risks and boosting institutional participation. Clear rules on offshore liquidity and custody will support market stability, though final details and implementation timing will determine actual impact.