The Australian Parliament has final approval of the Corporations Amendment (Digital Assets Framework) Bill 2025.
Crypto exchanges and digital asset custody platforms must now obtain an Australian Financial Services Licence (AFSL).
The bill passed both houses of Parliament on April 1, 2026, and now awaits royal assent. Once enacted, companies will have 12 months to obtain a license, plus a transition period to align operations with the new requirements.
Related: Canada Proposes Complete Ban on Crypto Donations to Political Parties
Contents
What the New Law Requires
The law introduces two new regulated categories:
- Digital asset platforms — platforms that hold client crypto assets
- Tokenized custody platforms — platforms that hold real-world assets and issue tokenized versions
Related: Google Warns Quantum Risk to Bitcoin and Ethereum Is Closer Than Thought
All such companies must comply with standard ASIC requirements. These include proper safeguarding of client assets, transparent disclosures, conflict of interest prevention, dispute resolution procedures, and compensation schemes.
The law does not regulate crypto assets themselves. Instead, it focuses on companies that manage them on behalf of clients.
Industry Reaction
Industry representatives largely welcomed the law’s passage. OKX Australia CEO Kate Cooper called it a “pivotal moment” that lays the foundation for institutional participation.
John O’Loghlen, Coinbase’s Managing Director for Asia-Pacific, noted that the law strengthens Australia’s position in the global digital economy. However, he urged faster development of a comprehensive regulatory framework for stablecoins.
The Digital Economy Council of Australia emphasized that the country now has its first legislative framework directly regulating digital assets. This provides long-awaited certainty for businesses and investors.
Previous Digital Asset Regulation in Australia
Before the Digital Assets Framework Bill 2025, crypto industry regulation in Australia was fragmented and relied on existing laws.
Since 2018, fiat-crypto exchange services required registration with AUSTRAC as digital currency exchange providers under the Anti-Money Laundering and Counter-Terrorism Financing Act 2006.
Since 2017, ASIC has issued guidance (Information Sheet 225) explaining when digital assets or related services qualify as financial products requiring an AFSL.
Between 2022 and 2023, the government conducted consultations on regulating Crypto Asset Secondary Service Providers. However, no comprehensive standalone law existed for platforms holding client assets.
The new law represents the most significant step to date. It integrates digital assets into the existing financial services framework rather than creating parallel regulation.
