An Australian Senate committee has backed proposed legislation to integrate cryptocurrency platforms and custodian providers into the country’s financial services framework.
The Senate Economic Law Committee said in a report published on Monday that the proposed Corporations Amendment (Digital Assets Framework) Bill 2025 will modernize the monitoring of digital assets with traditional market safeguards to protect consumers.
The framework seeks to establish a licensing and compliance system for digital token managers by amending the Corporations Act 2001 and the Australian Securities and Investments Commission Act 2001.
The proposal targets companies that hold digital assets on behalf of clients, bringing them under existing financial services rules rather than trying to regulate the underlying blockchain infrastructure. If the measure becomes law, companies without an AFSL will have six months to obtain the necessary permission and comply with the new framework.
Crypto exchanges operating in Australia are already required to register with the country’s financial intelligence agency, the Australian Transaction Reports and Analysis Centre, as digital currency providers before offering exchange services.
