Four PillarsFour PillarsAsia Digital Asset Policy Center

Oceania

Australia

An early AML registrant for crypto exchanges that is now pulling platforms, stablecoins and tokenisation into full financial services law.

Ask Asia Navigator about Australia →
South KoreaJapanChinaHong KongTaiwanMongoliaSingaporeThailandVietnamMalaysiaIndonesiaPhilippinesCambodiaIndiaPakistanBhutanKazakhstanUzbekistanKyrgyzstanTurkmenistanUAEBahrainQatarOmanIsraelTurkeyJordanAustralia
45+Digital asset licence applications lodged with ASIC since October 2025
63Crypto businesses in AUSTRAC's 2026 supervisory campaigns (36 OTC desks, 27 exchanges)
A$5,000Per-customer cap for the small platform exemption, alongside A$10m a year in transactions

Australia was quick to bring crypto exchanges under anti-money laundering law: from 3 April 2018, digital currency exchanges had to register with AUSTRAC.

But registration was a financial crime check, not a conduct licence.

For years the main consumer protection came from ASIC arguing, case by case, that particular crypto products were financial products, while exchanges could hold unlimited client assets with no custody rules.

The 2022 collapses, including FTX's Australian arm, showed what that gap could cost.

Read the full story

The turning point came through the courts and Parliament at the same time.

ASIC won an A$8 million penalty against Kraken operator Bit Trade in December 2024, A$14 million against BPS Financial over its Qoin wallet in January 2026 and A$10 million against Binance Australia Derivatives in March 2026.

In June 2026 the High Court ruled 7-0 that Block Earner's fixed-yield Earner product was a financial product.

Meanwhile, Treasury's March 2025 digital asset statement led to the Corporations Amendment (Digital Assets Framework) Act 2026, which passed Parliament on 1 April 2026.

Today the rules run on two tracks.

Since 31 March 2026, AUSTRAC regulates virtual asset service providers (VASPs), a wider category that now covers crypto-to-crypto trading, custody and transfers, with a public register and the Travel Rule.

AUSTRAC has opened supervisory campaigns into 63 firms and took Cryptolink's 96 crypto ATMs offline in August 2026.

On the conduct side, ASIC's October 2025 guidance treats stablecoins, wrapped tokens and tokenised securities as financial products, its no-action relief for unlicensed firms ended on 30 September 2026, and the new Act adds digital asset platforms and tokenised custody platforms as licensed products from April 2027.

For builders, Australia is open to retail users, and spot crypto ETFs already trade on the ASX, but a licence is now the price of entry.

Exchanges need AUSTRAC registration and, increasingly, an Australian financial services licence; platforms holding under A$5,000 per customer and A$10 million a year in transactions are exempt.

Stablecoin issuers can distribute through exchanges under ASIC class relief, but the payments licensing bill that would treat them as stored-value facilities is still in draft.

Investors face a tax change too: for gains accruing from 1 July 2027, individuals lose the 50% capital gains discount in favour of cost base indexation, and resident individuals face a 30% minimum tax on capital gains.

On the wholesale side, the RBA's Project Acacia tested 20 tokenised market use cases and is now consulting on giving stablecoin issuers access to central bank settlement.

Who regulates

  • ASICAustralian Securities and Investments Commission

    In charge of

    Australia's corporate, markets and financial services regulator under the Corporations Act: it licenses financial services firms and markets and enforces conduct and disclosure law.

    On crypto

    Its October 2025 INFO 225 update treats many stablecoins, wrapped tokens and tokenised securities as financial products needing an AFSL; no-action relief ended on 30 September 2026. It won penalties against Bit Trade, BPS Financial and Binance Australia Derivatives, and licenses platforms from April 2027.

    ASIC website
  • AUSTRACAustralian Transaction Reports and Analysis Centre

    In charge of

    Australia's financial intelligence unit and AML/CTF regulator: it supervises reporting entities' compliance and turns their reports into intelligence for law enforcement.

    On crypto

    Registered digital currency exchanges from April 2018. Since 31 March 2026 it registers a wider class of VASPs covering crypto-to-crypto trading, custody and transfers, with the Travel Rule. It opened campaigns into 63 firms and suspended Cryptolink's registration in August 2026.

    AUSTRAC website
  • TreasuryThe Treasury

    In charge of

    The government's central economic department: it advises ministers on economic, tax and financial policy and prepares the legislation that sets financial sector rules.

    On crypto

    Its March 2025 digital asset statement led to the Digital Assets Framework Act 2026, passed on 1 April 2026. It is also drafting payments licensing law that would regulate stablecoin issuers and wallets as stored-value facilities.

    Treasury website
  • RBAReserve Bank of Australia

    In charge of

    Australia's central bank: it sets monetary policy, issues banknotes, runs the RITS settlement system and oversees payment systems and financial stability.

    On crypto

    With the DFCRC it ran Project Acacia, reporting on 20 wholesale tokenised asset use cases in May 2026. It sees no clear public interest case for a retail CBDC and is consulting until 30 October 2026 on RITS access for stablecoin issuers.

    RBA website
  • ATOAustralian Taxation Office

    In charge of

    The federal tax authority: it collects income tax, GST and other federal taxes, administers superannuation rules and issues guidance on how tax law applies.

    On crypto

    Treats crypto held as an investment under capital gains tax: disposals trigger CGT, with a 50% discount after 12 months until indexation replaces it for gains from 1 July 2027. A 2023 law confirms bitcoin is not foreign currency. Guidance covers DeFi, wrapping and records.

    ATO website
  • APRAAustralian Prudential Regulation Authority

    In charge of

    The prudential regulator of banks, insurers and superannuation funds: it sets capital, liquidity and risk management standards to keep them financially sound.

    On crypto

    Its April 2022 letter set risk management expectations for banks, insurers and super funds dealing with crypto-assets, with a roadmap to Basel-aligned rules. Treasury's draft payments law would give it powers over major stored-value facility providers.

    APRA website

What to watch

  • ASIC enforcement after its no-action relief ended on 30 September 2026: firms dealing in financial-product tokens without a licence or pending application face penalties.
  • Digital asset platform regime starts April 2027: ASIC will consult on asset-holding, transactional and settlement standards and a new regulatory guide.
  • Payments licensing bill: Treasury's Tranche 1 draft (consultation closed 9 April 2026) would regulate stablecoin issuers and wallets as stored-value facilities; not yet introduced.
  • RBA consultation closing 30 October 2026 on RITS access for stablecoin issuers and the design of tokenised central bank reserves.

Quick answers

Who regulates crypto in Australia?

Six authorities shape crypto rules in Australia. ASIC (Australian Securities and Investments Commission): licenses financial services and markets, including digital asset platforms and financial-product tokens. AUSTRAC (Australian Transaction Reports and Analysis Centre): AML/CTF regulator that registers and supervises virtual asset service providers. Treasury (The Treasury): designs digital asset platform and payments licensing legislation, including stablecoin rules. RBA (Reserve Bank of Australia): central bank running tokenised money research, including Project Acacia and CBDC policy. ATO (Australian Taxation Office): tax authority that sets out capital gains and income tax treatment of crypto assets.

Do crypto exchanges need a licence in Australia?

Yes, though the regime is narrow or still phasing in. AUSTRAC VASP registration plus AFSLs for financial-product tokens; platform licensing starts April 2027. The main licences are Virtual asset service provider (VASP) registration from AUSTRAC; Australian financial services licence (AFSL) for digital asset financial products from ASIC; and AFSL authorisation to operate a digital asset platform or tokenised custody platform from ASIC. Four Pillars rates exchange licensing in Australia as partial (reviewed 5 Oct 2026).

Are stablecoins regulated in Australia?

Not fully yet: the regime is being built. Treated as non-cash payment facilities needing an AFSL; stored-value facility law is still in draft. The most recent official text is Payments licensing reforms (The Treasury, 12 Mar 2026, consultation). Four Pillars rates its stablecoin regime in Australia as developing (reviewed 5 Oct 2026).

How is crypto taxed in Australia?

Top marginal rate incl. Medicare levy; 50% CGT discount after 12 months until 30 June 2027, then cost base indexation and a 30% minimum tax on gains. Four Pillars rates tax clarity in Australia as comprehensive (reviewed 5 Oct 2026).

Can real-world assets be tokenised in Australia?

Yes, though the regime is narrow or still phasing in. Tokenised securities sit under existing law; Project Acacia tested 20 wholesale use cases in 2025-26. Four Pillars rates tokenisation and real-world assets in Australia as partial (reviewed 5 Oct 2026).

What changed most recently in Australia's crypto rules?

30 Sep 2026: ASIC no-action relief for digital asset firms expired. Firms needing a licence had to apply by this date; ASIC had recorded over 45 applications since October 2025. 26 Jun 2026: Tax Reform No. 1 Act received Royal Assent. For gains accruing from 1 July 2027, the 50% CGT discount for individuals gives way to cost base indexation, plus a 30% minimum tax for residents.

What should companies watch next in Australia?

ASIC enforcement after its no-action relief ended on 30 September 2026: firms dealing in financial-product tokens without a licence or pending application face penalties. Digital asset platform regime starts April 2027: ASIC will consult on asset-holding, transactional and settlement standards and a new regulatory guide. Payments licensing bill: Treasury's Tranche 1 draft (consultation closed 9 April 2026) would regulate stablecoin issuers and wallets as stored-value facilities; not yet introduced.

Timeline

  1. ASIC no-action relief for digital asset firms expired

    Firms needing a licence had to apply by this date; ASIC had recorded over 45 applications since October 2025.

  2. Tax Reform No. 1 Act received Royal Assent

    For gains accruing from 1 July 2027, the 50% CGT discount for individuals gives way to cost base indexation, plus a 30% minimum tax for residents.

  3. High Court ruled for ASIC in Block Earner

    A unanimous court held the Earner yield product was a financial product needing a licence.

  4. Project Acacia findings released

    The RBA and DFCRC reported on 20 use cases settled with stablecoins, deposit tokens and pilot wholesale CBDC.

  5. Digital Assets Framework Act received Royal Assent

    Passed on 1 April 2026, the Act starts 12 months after assent (8 April 2027 under its commencement table), with a six-month window to apply for a licence.

  6. Virtual asset AML reforms took effect

    DCE registration became VASP registration, covering crypto-to-crypto exchange, custody and transfers.

  7. BPS Financial ordered to pay A$14 million

    The Federal Court penalised unlicensed conduct and misleading claims over the Qoin wallet.

  8. Digital Assets Framework Bill introduced

    The bill created digital asset platforms and tokenised custody platforms as new financial products.

  9. ASIC updated INFO 225

    ASIC said many stablecoins, wrapped tokens and tokenised securities are financial products and granted sector-wide no-action relief.

  10. Government released its digital asset statement

    Treasury set out plans for digital asset platform rules and payment stablecoin regulation.

  11. AML/CTF Amendment Act 2024 received Royal Assent

    The Act set 31 March 2026 for virtual asset reforms and 1 July 2026 for new tranche two sectors.

  12. Digital currency exchange registration began

    Exchanges converting crypto to and from fiat had to register with AUSTRAC and run AML/CTF programs.

Cite this page: Four Pillars Asia Digital Asset Policy Center, “Australia crypto regulation”, reviewed 5 Oct 2026, https://policy.4pillars.io/australia. Free to reuse with attribution; also as markdown and JSON.

Other markets