Australia warns unlicensed crypto firms face fines up to 10% of annual revenue

The Australian Securities and Investments Commission (ASIC) has issued a final warning to unlicensed cryptocurrency firms, setting a September 30, 2026 deadline to apply for financial services licenses. Starting October 1, 2026, non-compliant firms face civil and criminal penalties, including fines of up to 10% of their annual turnover. ASIC has received over 45 applications since updating its guidance in October 2025. This transition relief operates independently of Australia's broader Digital Asset Framework, which takes effect on April 9, 2027.

ASIC crypto licensing deadline

• ▪The Australian Securities and Investments Commission previously extended the licensing transition relief period from June 30, 2026, to September 30, 2026, and expanded it to cover firms operating as authorized representatives of licensed entities.
• ▪Cryptocurrency firms requiring market or clearing and settlement licenses in Australia must notify the Australian Securities and Investments Commission and hold a pre-application meeting before the September 30, 2026 deadline.
• ▪The Australian Securities and Investments Commission announced that cryptocurrency firms relying on temporary regulatory relief must apply for an Australian Financial Services license or amend an existing license by September 30, 2026.

Penalties for unlicensed operation

• ▪Starting October 1, 2026, cryptocurrency companies operating in Australia without meeting the licensing conditions could face civil and criminal penalties for violating financial services law.
• ▪Unlicensed cryptocurrency firms in Australia that fail to meet the licensing requirements by the deadline face potential fines reaching up to 10% of their annual turnover.

Licensing application progress

• ▪The Australian Securities and Investments Commission had received approximately 30 digital asset-related license applications by June 25, 2026, when it extended the temporary relief period.
• ▪The Australian Securities and Investments Commission has recorded more than 45 digital asset-related license applications since updating its regulatory guidance in October 2025.

Australia Digital Asset Framework timeline

• ▪The temporary licensing transition relief provided by the Australian Securities and Investments Commission operates separately from Australia's Digital Asset Framework.
• ▪Australia's Digital Asset Framework is scheduled to officially take effect on April 9, 2027.

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