ASIC Announces New Exemptions to Support Digital Asset Service Providers
Australia’s securities regulator, ASIC, has finalized a series of exemptions aimed at strengthening innovation within the digital asset and payments sectors. The newly announced class relief allows intermediaries to engage in the secondary distribution of eligible stablecoins and wrapped tokens without requiring additional Australian financial services (AFS), market, or clearing and settlement licences. This approach builds on earlier relief measures while adapting to the evolving needs of service providers operating within the rapidly expanding crypto ecosystem.
Stablecoins and wrapped tokens have increasingly become core infrastructure for digital markets, enabling liquidity routing, cross-chain mobility, and efficient settlement. By reducing the licensing burden on intermediaries interacting with these instruments, ASIC viewks to maintain regulatory oversight while removing friction that could stall technological progress. The updated exemption framework ensures existing market participants can continue to support tokenized assets that fall within defined eligibility thresholds—particularly those issued by firms already licensed or undergoing the licensing process.
These measures signal ASIC’s willingness to adjust regulatory settings to encourage responsible market development. As more firms move toward tokenized products and blockchain-based financial services, class relief acts as a bridge to forthcoming government regimes governing . This transitional approach ensures industry continuity while broader legislative frameworks are still in development.
Takeaway
What New Custody Flexibilities Are Provided Under the Updated Relief?
Beyond distribution exemptions, ASIC has also granted relief allowing providers to hold digital assets that qualify as financial products in omnibus accounts—provided they maintain appropriate reconciliation procedures and detailed record-keeping. Omnibus custody structures are common in traditional finance and offer managing assets on behalf of multiple clients. Extending this model to digital assets reflects ASIC’s recognition of practical challenges faced by custodians evolving their infrastructure.
By enabling omnibus accounts, ASIC is aligning custody rules with global best practices, ensuring Australian providers can compete internationally while still adhering to robust compliance obligations. Proper reconciliation and transparency remain mandatory, ensuring that client assets are clahead identifiable and properly segregated within custodial systems. This move is especially relevant as tokenization expands and more financial products transition to blockchain-based wrappers.
The omnibus relief complements ASIC’s broader objective of supporting healthy market mechanics without compromising consumer protection. For custodians, it offers a clear operational framework as they expand the range of held on behalf of clients. For investors, the requirement for precise record-keeping reinforces confidence in the integrity and securety of these custody structures.
Takeaway
How Did Industry Feedback Shape ASIC’s Final Relief Measures?
The final class relief reflects ASIC’s response to industry feedback gathered during consultation periods dating back to October 2025. Following the release of Simple Consultation 32 and the updated digital asset guidance (INFO 225), ASIC received five non-confidential submissions from market participants. The feedback was largely supportive, requesting broader eligibility definitions and clearer guidance—particularly around how wrapped tokens and stablecoins would be treated under upcoming regulatory frameworks.
In response, ASIC expanded eligibility to include stablecoins and wrapped tokens whose issuers have applied for licensing, easing compliance obstacles for innovative products still progressing through the formal approval process. This flexibility aligns Australian rules more closely with international regulatory approaches, where transitional recognition is common for emerging digital asset models. ASIC also incorporated further clarifications in the accompanying Explanatory Statements to address operational and definitional concerns raised during consultation.
These adjustments show a shift toward collaborative regulatory development, with ASIC positioning itself as a facilitator of responsible innovation rather than an impediment. By bridging the gap between present-day digital asset activity and future government regimes, the class relief provides firms with stability and clarity as they navigate the , particularly in relation to custody, payments, and tokenisation initiatives.
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