Australia's financial regulatory agency expands its oversight of cryptocurrency

BlockBeats News, October 29th, according to Decrypt's report, the Australian Securities and Investments Commission (ASIC) has issued a significant update to its digital asset guidance, expanding the application of existing financial services laws to cryptocurrency businesses, clarifying when digital asset products and services may be considered financial products under the Corporations Act. The latest update replaces early cryptocurrency terms with the broader term "digital asset," covering tokenization, digitization, and token-based products.

ASIC reiterated that many digital assets, including yield tokens, staking arrangements, and asset-referenced stablecoins, may require an Australian financial services license under current law. The regulator also emphasized that if offshore and decentralized platforms market or sell to local users, Australian law equally applies. The new custody obligations require companies holding client assets to meet a net tangible asset threshold of up to AUD 10 million.