The crypto regulatory landscape has been changing from stringent rules that kill adoption to a more security-focused stance. In the latest development of the regulations, the Australian government launched a bill that would treat crypto under the financial services law.
Introduced by the Assistant Treasurer, Daniel Mulino, the Corporations Amendment (Digital Assets Framework) Bill 2025 requires crypto entities like exchanges and custody providers to obtain an Australian Financial Services License (AFSL).
Mulino’s bill calls for an amendment to the Corporate Act, creating two new financial products, a “digital asset platform” and a “tokenized custody platform,” and each of these will need to have an AFSL.
Addressing the issue of the crypto industry, Mulino stressed the importance of regulations. As of today, institutions can hold any amount of crypto belonging to the client without any financial regulations. This exposes the funds that the institution holds on behalf of the client to scams like the FTX exchange. Mulino stated:
This bill responds to those challenges by reducing loopholes and ensuring comparable activities face comparable obligations, tailored to the digital asset ecosystem.
However, the Bill gives an exemption to small-scale companies, enhancing the adoption of digital assets. As such, companies with transaction volume less than 10 million AUD ($6.5 USD) during the past 12 months, along with those that deal or advise on platforms, will be exempt. The others have an 18-month grace period on licensing, which Mulino said gives “relief for businesses trying to do the right thing.”
Meanwhile, the Australian Federal Police (AFP) stated that Australia’s online cybercrime reporting system received 150 unique reports of scams involving crypto ATMs, with an estimated loss of $3,107,600, from January 2024, to January 2025. The AFP press release stated:
Since 2019, AUSTRAC data shows the number of active crypto ATMs in Australia has increased more than 15-fold, from 23 to more than 1,600 in 2025.
