ASIC Expands Financial Services Laws to Include Digital Assets

According to BlockBeats, the Australian Securities and Investments Commission (ASIC) has significantly updated its guidance on digital assets, broadening the application of existing financial services laws to cryptocurrency businesses. The update clarifies when digital asset products and services may be considered financial products under the Corporations Act. The new guidance replaces earlier terminology of crypto assets with the broader term digital assets, encompassing virtualization, tokenization, and token-based products. ASIC reiterated that many digital assets, including yield tokens, staking programs, and asset-referenced stablecoins, may require an Australian Financial Services License under current laws. The regulator also emphasized that Australian laws apply equally to offshore and decentralized platforms marketing or selling to local users. New custody obligations require companies holding client assets to meet a net tangible asset threshold of up to AUD 10 million.