ASIC has today clarified how existing laws apply to digital assets, giving investors improved protections and providing firms with greater certainty to operate and innovate. ASIC also confirmed transitional support ahead of proposed law reforms.

Stablecoins, wrapped tokens, tokenised securities and digital asset wallets are among the digital asset products that ASIC considers to be financial products in its updated guidance.

ASIC Commissioner Alan Kirkland said, ‘Distributed ledger technology and tokenisation are reshaping global finance. ASIC’s guidance provides the regulatory clarity that firms have been calling for to innovate confidently in Australia.

‘Many widely traded digital assets are financial products under current law – and will remain so under the Government’s proposed law reform – meaning many providers require a financial services licence. Licensing ensures consumers receive the full suite of protections under the law and allows ASIC to act when poor practices lead to harm.

‘We recognise that firms will need time to consider the updated guidance and apply for licences, so ASIC has granted a sector-wide no-action position until 30 June 2026. ASIC also proposes to provide relief for stablecoin and wrapped token distributors to smooth the transition to proposed law reform.’

ASIC has made an in-principle decision to grant proposed regulatory relief for distributors of certain stablecoins and wrapped tokens, and certain relief for custodians of digital assets that are financial products. Feedback is invited on the draft relief instruments until 12 November 2025.

ASIC also released today a summary of feedback themes from submissions to Consultation Paper 381 Updates to INFO 225: Digital Assets: Financial Products and Services (CP 381). Feedback from the consultation informed the no-action position, and ASIC’s decision to provide the proposed relief and include additional examples in the guidance.

ASIC will also factor in the current no-action position when considering historical conduct but will continue to act against egregious conduct where we see significant consumer harm or widespread systemic misconduct.

Downloads

• Information Sheet 225 Digital assets: Financial Products and Services (INFO 225)
• CS 32 Proposed relief for eligible stablecoins and wrapped tokens, and extension of omnibus accounts for digital asset custody
• ASIC class no-action letter for digital asset businesses

Background

ASIC first published INFO 225 in September 2017, with updates made in 2018, 2019 and 2021.

INFO 225 is aimed at all firms involved in digital assets, including:

• existing financial services and financial markets businesses, including those exploring the application of blockchain technology to existing financial products and real-world assets (e.g. tokenisation),
• new digital asset businesses,
• brokers and intermediaries,
• professional advisers to the above businesses.

In December 2024, ASIC consulted on updates to INFO 225 (CP 381) to clarify when certain digital assets are financial products. CP 381 also sought feedback on the application of the existing AFS licensee obligations to digital asset businesses, potential relief for wrapped tokens and ‘stablecoins’ for the transition to the Government’s proposed DAP and payment regimes, and a potential class ‘no action’ position for digital asset businesses to transition to licensing.

Updated INFO 225 is aligned to and supports the Government’s broader work on the proposed DAP reforms. INFO 225 complements the proposed reforms by clarifying what is a financial product and service under the current law.

The INFO 225 package today builds on practical relief ASIC has given this year to facilitate the Reserve Bank of Australia’s Project Acacia, a research project related to wholesale tokenised asset markets, and the recent relief for distribution of certain stablecoins issued under a licence.

Together, these show ASIC’s ongoing commitment to supporting responsible innovation in the financial services sector.

ASIC's Moneysmart website has information for investors on the risks of investing in crypto assets.