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Australia Sets September 30 Deadline for Crypto Firm Licensing

Australia Sets September 30 Deadline for Crypto Firm Licensing

More than 45 digital asset businesses have entered Australia’s licensing process since ASIC updated its guidance.

Written by Rahul Dhingra, Edited by Rohan Pal | Updated: 3 September 2026 17:50 IST

Australia Sets September 30 Deadline for Crypto Firm Licensing

Photo Credit: Unsplash/Kanchanara

ASIC’s updated guidance covers digital assets, custody services, staking, wrapped tokens and stablecoins

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Highlights

ASIC extended the original June deadline for affected firms
Custody, staking and stablecoins can fall under financial product rules
Firms missing the relief criteria must stop services from October 1

The financial regulatory body in Australia issued its last warning on September 2 to crypto companies depending on temporary enforcement relief. These businesses will need to apply for the necessary licence by September 30 in order to comply with current financial services regulations. The Australian Securities and Investments Commission (ASIC) said that businesses operating without being licensed from October 1 would be liable to legal consequences. The potential fines could amount to 10 percent of annual turnover. ASIC has seen more than 45 applications for licensing related to digital assets since it revised its guidelines in October 2025.

Digital Asset Services May Require Different Types Of Licences

As per ASIC, this number increased from about 30 cases after the regulator had extended the initial deadline of June. The warning from the regulator applies to firms that offer digital asset services that can be considered financial products under existing law. It doesn't necessarily mean that all cryptocurrencies or crypto activities demand the same license. The guidelines provided by ASIC also say that companies requiring an Australian Financial Services (AFS) licence need to lodge a new application or apply for an amendment of their existing licence by September 30. It all depends on what products or services individual firms provide.

Organisations that require an Australian Market Licence or Clearing and Settlement facility licence must meet specific conditions. The organisations must provide written notification to ASIC of their intention to apply and attend a pre-application meeting prior to the deadline. Examples of the application of financial product rules to digital assets, custody services, staking arrangements, wrapped tokens, and stablecoins are given in the updated ASIC Information Sheet 225. Businesses need to consider the rights that accompany each product rather than just the nature of the product.

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This September 30 deadline relates to the existing obligations under AFS laws. This is not related to the Corporations Amendment (Digital Assets Framework) Act 2026, which was passed by Parliament on April 1. It was granted Royal Assent on April 8 and will be operational from April 9, 2027, as per ASIC's timeline of implementation. Businesses that are taking advantage of the relief should know by September 30 whether they need an AFS, market, or clearing and settlement license.

Businesses that have doubts regarding their standing could require legal counsel with respect to the nature of their business products, custody services and client agreements. The submission of an application cannot be taken as a sure path to approval, as applicants have to meet ASIC's requirements. Companies failing to comply with the criteria for getting relief have to discontinue their services as from October 1. Operating while the application is under preparation does not automatically shield firms that miss the deadlines.

According to ASIC, over 45 companies have already joined the licensing procedure. ASIC did not disclose which firms have filed such applications or how many exchanges, custodians, tokenisation providers, and other types of services there are among them.

Cryptocurrency is an unregulated digital currency, not a legal tender and subject to market risks. The information provided in the article is not intended to be and does not constitute financial advice, trading advice or any other advice or recommendation of any sort offered or endorsed by NDTV. NDTV shall not be responsible for any loss arising from any investment based on any perceived recommendation, forecast or any other information contained in the article.

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Further reading: ASIC, Australia Cryptocurrency, Crypto Regulations, Crypto Licences

Rahul Dhingra

Email Rahul Dhingra

Rahul Dhingra is a crypto writer at Gadgets 360, where he covers the exciting world of Cryptocurrency, Blockchain, Defi and Web3. Before joining Gadgets 360, he worked as a content specialist for a European-based Crypto Exchange. Rahul loves storytelling, not just through the written word but also through the visual medium. Beyond his professional life, Rahul is a sports fanatic. Whether it’s cricket or football, his passion for the game is contagious. More