Australian Senate Committee Supports Crypto Bill to Bring New Crypto Regulation Framework

An Australian Senate committee has backed a bill that would bring crypto platforms and custody providers under the country’s existing financial services system. The proposed law would create a licensing and compliance framework for firms that manage digital assets for customers, while leaving the underlying blockchain technology outside direct regulation.

Meanwhile, the bill remains before the Senate, but has not yet become law.

Australia Backs New Crypto Regulation Framework

Australia is moving forward with new rules for the crypto industry. On March 16, the Senate Economics Legislation Committee released a report supporting the Corporations Amendment (Digital Assets Framework) Bill 2025. Lawmakers say the bill aims to modernize how digital assets are regulated in the country.

The proposal would update the Corporations Act 2001 and the ASIC Act 2001. If passed, it would introduce licensing and compliance rules for companies that manage or hold crypto assets for customers. 

The goal is to bring crypto service providers under the same financial protections used in traditional markets.

Six-Month Deadline for Crypto Firms

If the bill becomes law, affected firms that do not already hold an Australian Financial Services Licence (AFSL) would get six months to obtain authorization and meet the new requirements. 

ASIC already says businesses offering digital asset financial products or services may have obligations under the current Corporations Act and ASIC Act, but the bill would create a more direct framework for crypto platforms.

Importantly, the legislation mainly targets companies that hold digital assets for users, rather than trying to regulate the blockchain technology itself. 

Australia Already Requires AUSTRAC Registration

Crypto exchanges in Australia already face some regulatory obligations.

Businesses that provide digital currency exchange services must register with AUSTRAC before offering those services, and it is against the law to operate without registration

So the new bill would not start regulation from zero. Instead, it would add a clearer market conduct and licensing regime on top of the country’s existing anti-money laundering and registration requirements. 

That could give exchanges, custody firms, and investors more certainty about who falls under which rules.

As of now, the bill remains before the Senate, but has not yet become law.