Licentium

Fintech Licensing Hub

Australia

Australia is integrating crypto, payments and gambling into its existing financial-services law rather than building standalone regimes. Crypto faces two parallel 2026 reforms: a FATF-aligned VASP regime under the amended AML/CTF Act (AUSTRAC, from 31 March 2026), and the Corporations Amendment (Digital Assets Framework) Act 2026 (commencing 9 April 2027) making Digital Asset Platforms and Tokenised Custody Platforms AFSL-licensed under ASIC, with stablecoins on the payments track. Payments are being modernised under the Payments System Modernisation Act 2025 and a new PSP licensing framework (SVFs, tokenised stablecoins, payment instruments and services; APRA prudential oversight of major SVFs above AUD 200m), while gambling is state/territory-licensed within the federal Interactive Gambling Act 2001 (online casino/poker/in-play banned; ACMA blocks illegal sites; BetStop national self-exclusion).

Available licences

Crypto — AUSTRAC VASP / Digital Currency Exchange Registration (AML/CTF Act)

Businesses providing designated virtual-asset services with an Australian link must register with AUSTRAC and run an AML/CTF programme (CDD, transaction monitoring, reporting). The FATF-aligned VASP regime commenced 31 March 2026, building on the digital-currency-exchange registration that has applied since 2018.

Crypto — AFSL for Crypto that is a Financial Product (ASIC; Corporations Act)

Where a crypto asset or arrangement is a financial product (e.g. fiat-backed stablecoins as non-cash payment facilities, algorithmic stablecoins as derivatives, or tokens that are securities or managed-investment interests), dealing, advising and platform operation require an AFSL and may require a market licence. ASIC's INFO 225 sets out the analysis, with 18 worked examples.

Crypto — Digital Asset Platform (DAP) AFSL (Digital Assets Framework Act; from 9 April 2027)

Exchanges and platforms that hold crypto on behalf of customers become a new financial product requiring an AFSL, with tailored asset-holding, custody and disclosure standards. Smaller platforms (under AUD 5,000 per customer and under AUD 10 million in annual transactions) are exempt.

Crypto — Tokenised Custody Platform (TCP) AFSL (Digital Assets Framework Act; from 9 April 2027)

Platforms that tokenise real-world assets become a separate financial product requiring an AFSL, again with tailored custody and disclosure obligations.

Payments — AFSL for Non-Cash Payment Facility (current) / PSP Licensing (reform)

Today, payment products are non-cash payment facilities requiring an AFSL. Under the Payments System Modernisation reform, this is replaced by new financial products and services — stored-value facilities, tokenised SVFs (currency stablecoins), payment instruments, and payment services (initiation, facilitation, technology/enablement) — each requiring an AFSL with payments-specific modifications.

Payments — Major Stored-Value Facility Registration (APRA)

Under the reform, a provider whose stored value exceeds AUD 200 million (group basis) must register with APRA and meet prudential standards (safeguarding, resilience), without becoming an authorised deposit-taking institution.

Payments — Remittance / Money-Transfer Registration (AUSTRAC)

Remittance-network and independent remittance dealers must register with AUSTRAC and meet AML/CTF obligations.

Banking — Authorised Deposit-taking Institution (APRA; Banking Act 1959)

Taking deposits and conducting banking business requires APRA authorisation as an ADI (including restricted ADIs for new entrants), with full capital, governance and prudential requirements.

Gambling — State/Territory Wagering Licence

Online and retail wagering (pre-match sports betting and racing) requires a licence from a state/territory regulator; many national online operators are licensed by the Northern Territory Racing Commission, subject to the federal Interactive Gambling Act and state point-of-consumption taxes.

Gambling — State/Territory Casino, Gaming-Machine and Lottery Licences

Casinos, gaming machines (pokies), keno and lotteries are licensed and taxed by each state/territory regulator, with strict probity, AML and responsible-gambling controls.

Detailed overview

Australia at a glance

Australia is folding crypto, payments and gambling into existing financial-services and consumer law. Crypto faces two 2026 reforms — a FATF-aligned VASP regime (AUSTRAC, from 31 March 2026) and the Digital Assets Framework Act 2026 (Royal Assent April 2026, commencing 9 April 2027) making DAPs and TCPs AFSL-licensed under ASIC — with stablecoins on the separate payments track. Payments are being modernised: the Payments System Modernisation Act 2025 plus a new PSP licensing framework replacing non-cash payment facilities with SVFs, tokenised SVFs, payment instruments and payment services (AFSL via ASIC; APRA over major SVFs above AUD 200m). Gambling is state/territory-licensed within the federal Interactive Gambling Act 2001, which bans online casino, poker and in-play betting; ACMA blocks illegal sites and BetStop provides national self-exclusion.

Crypto regime — integrated into financial-services and AML law; two 2026 reforms:

  • AML/CTF Act 2006 (AUSTRAC) — digital-currency-exchange registration since 2018; a FATF-aligned VASP regime commenced 31 March 2026, with AML/CTF programmes, CDD, monitoring and reporting; AUSTRAC ran a 2025 "use it or lose it" campaign cancelling inactive DCE registrations
  • Corporations Amendment (Digital Assets Framework) Act 2026 — Royal Assent 8 April 2026; commences 9 April 2027 (six-month transition); creates Digital Asset Platforms and Tokenised Custody Platforms as financial products requiring an AFSL, with tailored asset-holding, custody and disclosure standards; small platforms exempt (under AUD 5,000 per customer and under AUD 10 million annual transactions)
  • ASIC (Corporations Act; INFO 225) — crypto that is a financial product already requires an AFSL; ASIC takes a functional view (fiat-backed stablecoins as non-cash payment facilities; algorithmic stablecoins as derivatives; tokens that are securities or managed-investment interests); enforcement-led posture (Block Earner, Finder, Qoin, BPS Financial); transitional relief for certain stablecoins and wrapped tokens (ASIC Corporations Instrument 2025/867) and a good-faith no-action position into 2026
  • Stablecoins — handled primarily on the payments/SVF track as "tokenised SVFs," not the Digital Assets Framework Act
  • Tax (ATO) — crypto assets treated as property subject to capital gains tax; trading-stock and income treatment where relevant
  • Banking access — de-banking has been a persistent issue; the new AFSL status is intended to give crypto platforms clearer footing with banks

Payments and e-money regime (modernising into the AFSL framework):

  • Current — payment products are non-cash payment facilities (financial products) requiring an AFSL (ASIC); purchased payment facilities sit with APRA/RBA; AUSTRAC registers remitters
  • Payments System Modernisation Act 2025 (Royal Assent 19 September 2025) — expands RBA and Treasury powers to designate and oversee payment systems, including a Treasurer "national interest" designation power
  • PSP licensing reform (Tranche 1 exposure draft; consultation to 9 April 2026) — replaces non-cash payment facilities with new financial products (SVFs, tokenised SVFs, payment instruments) and a new financial service (payment services — initiation, facilitation, technology/enablement); AFSL required for PSPs performing a payment function; a mandatory ePayments Code; expected commencement around 12 months after Royal Assent (likely 2027)
  • Major SVFs — providers above AUD 200 million stored value (group basis) must register with APRA and meet prudential and safeguarding standards (not as ADIs); low-value SVFs exempt (under AUD 10 million and AUD 1,000 per person)
  • Stablecoins — a single-currency stablecoin is a tokenised SVF (the regulated financial product), with monthly reserve reporting; the token itself is not separately regulated
  • Infrastructure — the New Payments Platform (NPP), PayTo, Osko, BPAY and PayID; RBA retail-payments and surcharging policy
  • Currency: Australian dollar (AUD), free-floating; the RBA does not target a level

Gambling regime — state/territory-licensed within a federal online perimeter:

  • Interactive Gambling Act 2001 (IGA; federal) — prohibits "prohibited interactive gambling services" to Australians: online casino, online poker, online slots and online in-play (live) sports betting; permits online/phone wagering (pre-match sports betting and racing) and online lotteries/keno via licensed operators; strengthened by the Interactive Gambling Amendment Act 2017
  • ACMA — enforces the IGA, blocks illegal offshore sites, and refers directors of offending operators to the Australian Border Force; reported offshore losses have fallen
  • State/territory licensing — each state/territory licenses casinos, gaming machines, wagering and lotteries; many national online wagering operators are licensed by the Northern Territory and serve nationally
  • Point-of-consumption tax (POCT) — state-based wagering taxes (broadly 10%–15% of net wagering revenue, varying by state)
  • National Consumer Protection Framework — BetStop national self-exclusion register (from August 2023), activity statements, deposit limits, a ban on lines of credit and customer-verification rules
  • Advertising reform — the 2023 parliamentary review recommended phasing out online gambling advertising; comprehensive reform has been long-debated but not yet legislated (confirm current status before launching marketing)
  • Minimum age 18; casino sector subject to intensive probity scrutiny in recent years

Last verified: May 2026. Reference rate: USD 1 = AUD 1.52 (AUD 1 ≈ USD 0.66). The Australian dollar floats freely; the RBA does not target a level and intervenes only rarely.

Australia is consolidating digital finance into its existing AFSL architecture: AUSTRAC's VASP regime (from March 2026) and the Digital Assets Framework Act (DAPs/TCPs, from April 2027) for crypto, the Payments System Modernisation reform (SVFs, tokenised stablecoins, payment services) for payments, and a state/territory gambling system bounded by the federal Interactive Gambling Act — wagering and lotteries permitted, online casino and in-play betting prohibited and blocked.

Is there a crypto licence in Australia?

It is arriving in stages. AUSTRAC registration (now a FATF-aligned VASP regime from 31 March 2026) applies to virtual-asset services today; crypto that is a financial product already needs an AFSL under ASIC's existing law (INFO 225); and from 9 April 2027 Digital Asset Platforms and Tokenised Custody Platforms become AFSL-licensed financial products in their own right. Stablecoins are regulated on the payments track.

The legal foundation:

  • AML/CTF Act 2006 — AUSTRAC VASP/DCE registration and programmes (FATF-aligned regime from 31 March 2026)
  • Corporations Act + Digital Assets Framework Act 2026 — DAPs and TCPs as financial products requiring an AFSL (commences 9 April 2027; small-platform exemptions)
  • ASIC INFO 225 — functional financial-product analysis for crypto today (stablecoins, derivatives, securities, MIS interests)
  • Payments reform — single-currency stablecoins regulated as tokenised SVFs
  • Tax (ATO) — property/CGT treatment

Structure:

  • An Australian entity with an AFSL (for financial-product crypto now, and for DAPs/TCPs from 2027) plus AUSTRAC registration; asset-holding, custody and disclosure standards for platforms; competence, capital and dispute-resolution obligations
  • Dual compliance is common: AFSL (ASIC) and AML/CTF (AUSTRAC) apply independently
  • Transitional relief and a good-faith no-action stance ease the gap while the DAP/TCP regime is stood up

Operational reality:

  • Australia is deliberately applying TradFi-grade standards (custody, safeguarding, disclosure) to crypto — the design is "same activity, same risk, same regulation"
  • Sequencing matters: register with AUSTRAC now, classify each token/product under INFO 225, and build toward DAP/TCP AFSL authorisation for the 2027 commencement
  • Independent Australian legal, regulatory and tax counsel and early engagement with ASIC's and AUSTRAC's innovation hubs are advisable; licences do not passport into the EU (a MiCA CASP authorisation is separate)

Payments & E-money (ASIC AFSL; APRA for major SVFs; modernising in 2025–2027)

Best for payment, wallet, prepaid, BNPL, acquiring and stablecoin-payment operators prepared to hold an AFSL and, at scale, register with APRA — and to migrate from the non-cash-payment-facility regime into the new PSP framework.

What it is: Today, payment products are non-cash payment facilities requiring an AFSL (ASIC). Under the Payments System Modernisation reform, this becomes a tiered PSP regime — stored-value facilities, tokenised SVFs (currency stablecoins), payment instruments and payment services — with AFSL via ASIC, APRA prudential oversight of major SVFs, and expanded RBA/Treasury designation powers.

Who it suits: Digital wallets, prepaid and stored-value issuers, acquirers, payment gateways, BNPL providers, remitters, and stablecoin-payment operators, plus banks/ADIs.

Covers: Stored value (e-money), currency stablecoin issuance (as tokenised SVFs), payment instruments (cards, PayTo, BPAY), and payment services (initiation, facilitation, technology/enablement); remittance via AUSTRAC.

Operational requirement: An Australian entity; an AFSL with the appropriate authorisations; safeguarding of customer/payment money; AML/CTF (AUSTRAC) for remittance and tokenised SVFs; APRA registration and prudential standards if a major SVF (above AUD 200m); compliance with the mandatory ePayments Code; access to NPP/PayTo rails.

Headline figures

  • Primary instruments: Corporations Act 2001 (AFSL); Payments System Modernisation Act 2025; PSP licensing reform (SVFs, tokenised SVFs, payment instruments, payment services); Banking Act 1959; AML/CTF Act 2006; Payment Systems (Regulation) Act 1998
  • Regulators: ASIC (AFSL/conduct); APRA (ADIs, major SVFs); RBA (payment-systems oversight); AUSTRAC (AML/remittance)
  • Entry thresholds: AFSL (capital/competence per authorisation); major-SVF APRA registration above AUD 200m; low-value SVF exemption (under AUD 10m and AUD 1,000 per person)
  • Stablecoins: regulated as tokenised SVFs (monthly reserve reporting); the token itself is not a separate financial product
  • Infrastructure: NPP, PayTo, Osko, BPAY, PayID
  • Currency: AUD, free-floating; no exchange controls

Is there a gambling licence in Australia?

Yes, but split between federal prohibitions and state/territory licensing. The federal Interactive Gambling Act 2001 bans online casino, poker, slots and in-play sports betting to Australians, while permitting online/phone wagering (pre-match sports and racing) and online lotteries via state/territory-licensed operators. ACMA blocks illegal offshore sites and BetStop provides national self-exclusion.

The legal foundation:

  • Interactive Gambling Act 2001 (federal) — prohibits online casino, poker, slots and in-play betting; permits online wagering and lotteries via licensed operators
  • State/territory gambling statutes — license casinos, gaming machines, wagering and lotteries; online wagering is commonly licensed in the Northern Territory
  • National Consumer Protection Framework — BetStop self-exclusion, deposit limits, no lines of credit, activity statements
  • Tax — state point-of-consumption taxes (broadly 10%–15% of net wagering revenue), plus state gaming and casino taxes

Structure:

  • Online wagering — licensed by a state/territory regulator (often the NT Racing Commission); national reach; POCT and race-field fees apply
  • Casinos/pokies/lotteries — state/territory-licensed and taxed; strict probity and AML controls
  • Prohibited online — online casino, poker, slots and in-play betting cannot be offered to Australians (ACMA enforcement and site-blocking)
  • Minimum age 18; comprehensive responsible-gambling obligations

Gambling — State/Territory Wagering, Casino, Gaming-Machine and Lottery Licences (within the IGA)

Best for licensed wagering and lottery operators and land-based casino/gaming operators able to meet state/territory probity and the federal online perimeter; not for online casino, poker or in-play operators.

What it is: A state/territory licence for wagering, casino, gaming-machine or lottery operations, exercised within the federal Interactive Gambling Act's online prohibitions and the National Consumer Protection Framework.

Who it suits: Online and retail wagering operators (commonly NT-licensed), lottery operators, and land-based casino/gaming operators; not online casino/poker/in-play operators.

Covers: Online and retail wagering (pre-match sports and racing), online lotteries/keno, land-based casino games, gaming machines and lotteries; not prohibited online services.

Operational requirement: A state/territory licence with probity and suitability vetting; compliance with the IGA, the National Consumer Protection Framework (BetStop, deposit limits, no credit), and AML/CTF; POCT, race-field and product fees; responsible-gambling and advertising-code compliance.

Headline figures

  • Primary instruments: Interactive Gambling Act 2001 (and 2017 amendments); state/territory gambling statutes; National Consumer Protection Framework
  • Regulators: ACMA (federal IGA enforcement/blocking); state/territory regulators (licensing); NT Racing Commission (much online wagering)
  • Costs: state/territory licence fees; main ongoing cost is POCT (broadly 10%–15% of net wagering revenue) plus race-field/product fees
  • Prohibitions: online casino, poker, slots and in-play betting banned to Australians; offshore sites blocked
  • Player protection: BetStop national self-exclusion; deposit limits; no lines of credit; min age 18
  • Reform watch: long-debated online-gambling advertising reform not yet legislated

Costs and timelines at a glance

  • Crypto: AUSTRAC VASP registration (FATF-aligned, from 31 Mar 2026); AFSL for financial-product crypto now (INFO 225); Digital Assets Framework Act 2026 — DAP/TCP AFSL financial products (Royal Assent Apr 2026; commences 9 Apr 2027; small-platform exemptions under AUD 5,000/customer and AUD 10m/year); stablecoins on the payments track; ATO property/CGT
  • Payments primary instruments: Corporations Act (AFSL); Payments System Modernisation Act 2025; PSP licensing reform (SVFs, tokenised SVFs, payment instruments, payment services); Banking Act 1959; AML/CTF Act 2006
  • Payments regulators: ASIC (AFSL); APRA (ADIs, major SVFs > AUD 200m); RBA (systems oversight); AUSTRAC (remittance/AML)
  • Reform pipeline: PSP licensing framework (commencement ~12 months after Royal Assent, likely 2027); mandatory ePayments Code; DAP/TCP commencement (Apr 2027)
  • Gambling: Interactive Gambling Act 2001 (online casino/poker/in-play banned; wagering and lotteries permitted); state/territory licensing (often NT for online wagering); POCT ~10–15%; BetStop; ACMA blocking; min age 18; advertising reform pending
  • Currency: AUD, free-floating; no exchange controls
  • FX: USD 1 = AUD 1.52 (AUD 1 ≈ USD 0.66)

Who Australia suits and who it does not

Suitable for

  • Crypto exchanges, custodians and tokenisation platforms prepared to register with AUSTRAC now and build toward DAP/TCP AFSL authorisation for the April 2027 commencement, with TradFi-grade custody, safeguarding and disclosure
  • Stablecoin issuers comfortable being regulated as tokenised-SVF providers under the payments reform, with reserve reporting and (at scale) APRA prudential oversight
  • Payment, wallet, prepaid, BNPL, acquiring and remittance operators able to hold an AFSL and migrate into the new PSP framework, integrating with NPP/PayTo
  • Licensed wagering and lottery operators and land-based casino/gaming operators able to meet state/territory probity and the federal IGA perimeter, and absorb POCT and the National Consumer Protection Framework
  • Groups that value a stable, common-law, AAA-rated market with a clear policy direction toward integrating digital finance into existing financial-services law

Not suitable for

  • Firms wanting a settled, light-touch crypto licence today — the DAP/TCP regime does not commence until April 2027, and the interim relies on INFO 225, transitional relief and AUSTRAC registration
  • Crypto businesses needing EU passporting — Australian authorisations do not passport (a MiCA CASP authorisation is separate)
  • Payment or e-money firms expecting an EU-style EMI/passport — Australia uses the AFSL framework (and APRA for major SVFs), with reform still being finalised
  • Online casino, poker, slots or in-play betting operators targeting Australians — these are prohibited under the Interactive Gambling Act and actively blocked by ACMA
  • Operators sensitive to evolving reforms (PSP licensing, DAP/TCP commencement, gambling advertising), de-banking risk, or state-by-state gambling tax and probity requirements

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