ASIC Seeks to Appeal High Court Ruling on Block Earner’s DeFi Product

Australia’s securities regulator is pushing for a legal clarification on cryptocurrency products after a setback in court. The Australian Securities and Investments Commission (ASIC) filed to appeal a High Court decision that cleared Block Earner’s decentralized finance product from being classified as a financial service requiring licensing.

The March 2024 ruling marked a significant moment for DeFi regulation, with the court dismissing ASIC’s claims against Block Earner’s Access product. Regulators now seek to establish whether cryptocurrency offerings should universally fall under existing financial product definitions, regardless of their decentralized nature.

Legal observers note the case could set important precedents for how Australia regulates emerging financial technologies. The High Court’s split decision last year already highlighted the regulatory gray areas surrounding decentralized services.