Federal Court Upholds Ruling on Finder Earn, Dismissing ASIC’s Appeal

The Federal Court of Australia has delivered a landmark ruling affirming that Finder Wallet's 'Finder Earn' product does not qualify as a debenture, exempting the company from obtaining an Australian Financial Services License (AFSL). The decision, handed down on September 3, dismisses an appeal by the Australian Securities and Investments Commission (ASIC), which sought to classify the product under stricter regulatory oversight.

Central to the case was the court's determination that TrueAUD—the stablecoin used in Finder Earn—constitutes property rather than fiat currency. This interpretation negated ASIC's argument that the product involved a 'money debt' or deposit arrangement. The ruling provides critical clarity for decentralized finance (DeFi) platforms and stablecoin issuers operating in Australia's evolving regulatory landscape.

Market observers note the judgment could influence how regulators approach yield-bearing crypto products globally. By distinguishing between traditional financial instruments and blockchain-based innovations, the decision may accelerate institutional adoption of compliant DeFi solutions.