Australia will require licenses for stablecoin issuers and crypto wallet providers by 2026, a move that clarifies but complicates compliance for the industry.
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Posted October 29, 2025 at 10:03 am EST.
The Australian Securities and Investments Commission released updated guidance Wednesday classifying stablecoins, wrapped tokens, tokenized securities and digital asset wallets as financial products requiring licensing. Companies offering these services must obtain an Australian Financial Services License to operate legally in the country.
ASIC is providing sector-wide no-action relief until June 30, 2026, giving businesses time to assess requirements and apply for licenses. The regulator also proposed additional relief for certain stablecoin distributors and custodians of digital asset financial products.
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Industry leaders praised the clarity after extended periods seeking regulatory direction. However, concerns remain about ASIC’s ability to process a large volume of applications within the deadline. Steve Vallas of Blockchain APAC noted structural bottlenecks, including limited local expertise, banking access, and insurance capacity, could shift compliance from a legal to logistical challenge.
Bitcoin, gaming NFTs and tokenized concert tickets remain exempt from financial product classification. Exchanges dealing exclusively in Bitcoin don’t require licenses under the framework.
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