WEB3

Australian Crypto Platforms to Face New Regulatory Hurdles

by BSCN

October 16, 2023

chain

An update from the Australian Government Treasury would see even the smallest of cryptocurrency exchange platforms required to obtain a license that may not be available until 2025…

As reported by Bloomberg, cryptocurrency exchanges operating in Australia amy soon be required to obtain licenses to continue their services.

According to a proposal announced on Monday by the Australian Treasury, cryptocurrency exchanges operating in the jurisdiction would be required to obtain a specific ‘Australian Financial Services license’, to be issued by the Australian Securities and Investments Commission, under legislation that could come into effect by 2024.

Reports further indicate, however, that digital asset platforms in Australia may have to wait as far as 2025 to receive the relevant license. 

The proposal itself was allegedly slated for the middle of this year, after being originally announced in Q1 2023, and would require any platform that satisfies one of the below criteria to obtain the necessary licensing:

  • Any platform that holds more than 1,500 AUD for any one individual.
  • Any platform that holds more than 5 million AUD in total. 
Screenshot taken from Australian Treasury proposal


While concerns may arise around how quickly and smoothly platforms operating in Australia will be able to obtain the necessary license, the update nonetheless marks a significant step toward the regulation of digital assets in the nation.

Disclaimer

Disclaimer: The views expressed in this article do not necessarily represent the views of BSCN. The information provided in this article is for educational and entertainment purposes only and should not be construed as investment advice, or advice of any kind. BSCN assumes no responsibility for any investment decisions made based on the information provided in this article. If you believe that the article should be amended, please reach out to the BSCN team by emailing [email protected].

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