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Australia’s securities regulator has given crypto businesses until September 30 to apply for required financial services licenses or risk civil and criminal penalties from October 1.
The Australian Securities and Investments Commission said firms relying on its temporary no-action position must apply for an Australian Financial Services license, seek a variation to an existing license or enter an eligible arrangement with an AFS licensee before the relief expires.
September 30 Deadline Ends ASIC Enforcement Relief
ASIC’s no-action position covers businesses providing digital asset products or services that fall within Australia’s existing financial services laws.
Companies requiring an Australian Market License or Clearing and Settlement facility license must also notify ASIC of their intention to apply and hold a pre-application meeting before September 30.
The regulator originally set a June 30 deadline but extended the transition by three months after industry participants raised implementation concerns. ASIC has received more than 45 applications for digital asset-related authorizations since updating its guidance in October 2025.
Corporate Penalties Can Reach 10% of Annual Turnover
Businesses that require authorization but fail to meet the transition conditions could be operating illegally from October 1.
For companies, civil penalties can reach the greater of 50,000 penalty units, three times the benefit obtained or detriment avoided, or 10% of annual turnover. The turnover-based penalty is capped at 2.5 million penalty units, currently about A$910 million. Unlicensed financial services activity can also attract criminal penalties.
ASIC’s guidance covers digital assets that qualify as financial products under existing law, including some stablecoins, wrapped tokens, tokenized securities and digital asset wallets. Licensing requirements depend on the structure and services provided rather than the use of blockchain technology alone.
Separate Digital Asset Licensing Regime Starts April 9, 2027
The September deadline is separate from Australia’s broader Digital Assets Framework. The Corporations Amendment (Digital Assets Framework) Act takes effect on April 9, 2027, and introduces licensing requirements specifically for digital asset platforms and tokenized custody platforms.
Businesses that later fall within those new categories may need additional permissions under the 2027 regime. For firms already covered by existing financial services law, the immediate deadline remains September 30, after which ASIC’s sector-wide enforcement relief ends.
