ASIC Confirms Stablecoins and Tokenised Assets Fall Under Financial Law

Australia's financial regulator has brought clarity to the digital asset space. The Australian Securities and Investments Commission (ASIC) confirmed that stablecoins, wrapped tokens, tokenized securities, and digital asset wallets qualify as financial products under existing legislation. This classification subjects providers to licensing requirements, extending traditional investor protections to crypto markets.

Commissioner Alan Kirkland framed the MOVE as necessary adaptation to distributed ledger technology's disruptive potential. The guidance arrives alongside transitional relief—a sector-wide no-action position until mid-2026 for firms demonstrating compliance efforts. ASIC simultaneously seeks public feedback on proposed temporary exemptions for distributors.

The decision follows Australia's broader push to regulate crypto services, building on earlier proposals for comprehensive licensing frameworks. Market participants now operate with clearer boundaries as policymakers balance innovation against consumer safeguards.