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Australia Tables Digital Assets Bill to License Crypto Platforms

The proposal would put exchanges and tokenized custody under AFS licensing with tailored exemptions to balance protection and innovation.

Overview

  • Treasurer Jim Chalmers and Financial Services Minister Daniel Mulino introduced the Corporations Amendment (Digital Assets Framework) Bill 2025, with the first reading completed and a second-reading debate moved.
  • The framework creates two new financial product categories—digital asset platforms and tokenized custody platforms—and brings them under Australian Financial Services Licence requirements and ASIC oversight.
  • Licensed operators must act efficiently, honestly and fairly, meet custody and settlement standards, provide clear disclosures, maintain governance controls, and offer dispute resolution.
  • Low‑risk operators are exempt if they hold less than A$5,000 per customer or process under A$10 million annually, mirroring existing carveouts for other financial products.
  • The government cites potential productivity gains of up to A$24 billion and outlines multimillion‑dollar penalties for failures to protect client assets, while industry figures welcome the direction but seek clearer definitions, limits on discretionary powers, cost guidance, and tax clarity.