Australian Court Fines BPS Financial $9.3M for Unlicensed Crypto Operations
Australia's Federal Court has imposed a $9.3 million penalty on BPS Financial for operating an unlicensed cryptocurrency business. The ruling follows a protracted legal battle initiated by the Australian Securities and Investments Commission (ASIC), which accused BPS of violating the Corporations Act through its promotion and management of the Qoin Wallet.
From January 2020 to mid-2023, BPS offered the Qoin Wallet without holding the mandatory Australian Financial Services Licence. The court dismissed the company's defense that it qualified for an "authorized representative" exemption, affirming that BPS bore full responsibility for proper licensing given its product design and marketing.
Justice Downes underscored the severity of the multi-year violation in the 2024 ruling, which was upheld on appeal in 2025. The decision marks a significant enforcement action in Australia's evolving crypto regulatory landscape.
