Australia has taken a major step toward modernizing its financial system with the introduction of the Corporations Amendment (Digital Assets Framework) Bill 2025, a sweeping legislative package designed to protect consumers while unlocking billions in economic potential from digital finance.
The Albanese Government tabled the bill in Parliament on November 27, 2025, positioning Australia to become one of the world’s most forward-leaning jurisdictions on blockchain regulation.
A Framework Built for Safety, Growth and Technological Change
According to Treasurer statements and supporting research, millions of Australians now interact with digital assets each year, whether through cryptocurrencies, stablecoins or tokenized real-world assets such as property, commodities or government bonds. The government argues that the existing legal architecture has not kept pace with the speed of adoption.
Under current rules, businesses can hold unlimited customer digital assets without the safeguards that apply across traditional financial services. As global exchange failures have shown, this gap leaves everyday investors exposed to unnecessary risk.
The new bill aims to close that gap while preserving the innovative edge of Australia’s digital economy. The Government emphasized that blockchain-based assets are reshaping global finance and noted research from the Digital Finance Cooperative Research Centre suggesting that Australia could save or generate up to $24 billion annually if digital finance infrastructure is fully unlocked.
Digital Asset Platforms Come Under AFSL Oversight
The bill introduces two new regulated financial product categories: Digital Asset Platforms and Tokenized Custody Platforms. Any business operating in either category will now be required to hold an Australian Financial Services Licence (AFSL), placing them under ASIC supervision.
These platforms will need to meet core obligations that apply across the financial sector, including acting efficiently and honestly, avoiding misleading conduct, maintaining robust governance structures and providing clear disclosures about how customer assets are stored and what rights clients have.
The government confirmed that the licensing requirements will be tailored, not copy-pasted, to reflect the unique risk profile of digital asset infrastructure. At the same time, smaller or low-risk platforms handling less than $5,000 per customer and processing under $10 million per year will be exempt, mirroring the approach used for other financial products such as non-cash payment facilities.
Modernizing Regulation to Attract Capital and Strengthen Trust
In announcing the reforms, officials stressed that the goal is not simply stricter oversight, but a coherent framework that strengthens market confidence. By mandating fair dealing, transparency and proper dispute resolution processes, the government expects to protect investors while also encouraging domestic and international businesses to operate in Australia under clear and internationally aligned standards.
The new rules are also expected to support job creation and institutional adoption by offering trusted rails for tokenization, an area where Australia sees major economic upside. Banks, asset managers and fintech firms will now have a predictable regulatory pathway for launching tokenized financial products or digital asset services.
A Core Piece of Australia’s Modern Economic Strategy
The Albanese Government framed the bill as a cornerstone of its broader economic modernization agenda. With digital assets already driving change in global capital markets, the government says Australia must build a regulatory system that protects investors without stifling progress, ensures fair competition and allows local businesses to compete in a rapidly evolving sector.
By bringing exchanges and custodians under AFSL oversight, Australia is signaling that digital assets are no longer peripheral, they are central to the country’s future financial infrastructure. The legislation places Australia firmly among the leading nations shaping the next era of digital markets.
