Australian Regulator Warns Crypto Firms to Apply for Licenses by September 30
ASIC issues final warning for crypto licensing
Australia’s financial regulator, the Australian Securities and Investments Commission (ASIC), has warned crypto businesses to meet authorization requirements by September 30. Companies that continue to operate without the proper licenses after this date may face legal action and significant fines.
The regulator stated that firms must apply for or update an Australian Financial Services (AFS) license. This license is a legal permit required for companies to provide financial products and services. Alternatively, businesses can enter into authorized arrangements with existing license holders to stay compliant with the law.
Crucial details for crypto businesses
- The deadline for license applications or notifications is September 30, 2026.
- Firms operating without authorization starting October 1, 2026, could be in breach of financial services law.
- Penalties for non-compliance include civil or criminal charges and fines of up to 10% of a company’s annual turnover.
- More than 45 businesses have already applied for crypto-related authorizations since October 2025.
Requirements for different service providers
ASIC confirmed that companies requiring an Australian Market License or a Clearing and Settlement facility license must also take action. These firms are required to notify the regulator and hold a pre-application meeting by the September 30 deadline.
This move follows updated guidance released by ASIC in October 2025, known as INFO 225. This guidance explains when digital assets and related services are classified as financial products under existing Australian laws. By following these rules, the regulator aims to bring the crypto industry under the same standards as traditional financial services.
New framework for digital assets
A new law called the Corporations Amendment (Digital Assets Framework) Act 2026 is scheduled to take effect on April 9, 2027. This framework will formally include crypto and tokenized custody platforms—services that hold digital assets for customers—under the national licensing regime.
ASIC noted that many firms will still need their current financial services authorizations even after the new framework begins. The regulator intends to provide more standards and guidance to the industry before the 2027 start date.
