Australian Senate Committee Supports Cryptocurrency Regulation Bill: Trading Platforms Will Need to Apply for Financial Licenses

Mars Finance News: On March 16, the Australian Senate Economics Legislation Committee recommended passing the “Corporations Amendment (Digital Assets Framework) Bill 2025.” The bill will require crypto asset platforms to obtain financial licenses and be incorporated into the existing financial regulatory system. The committee stated in its report that the bill will significantly strengthen Australia’s regulatory framework for the digital asset industry, providing better protection for consumers, while striving to remain technologically neutral and compatible with international regulatory frameworks. According to the bill, businesses operating digital asset trading platforms or tokenized custody platforms will be considered financial service providers and will need to apply for an Australian Financial Services License (AFSL). The focus of regulation will be on intermediaries holding user assets or facilitating trades, rather than on blockchain technology itself. The bill will also legally define key concepts such as “digital tokens” and establish rules for asset custody, trade execution, information disclosure, and customer asset protection. The bill was proposed by the Treasury in November 2025, passed the third reading in the House of Representatives on February 4, 2026, and is currently under review in the Senate. The committee noted that most industry organizations support the government establishing a clearer regulatory framework, but some opinions pointed out that the broad definitions of “digital tokens” and “actual control” could impact infrastructure providers or non-custodial services. If the bill is ultimately passed, relevant companies will be granted a six-month transition period to complete license applications.