The Australian Securities and Investments Commission extended its sector-wide no-action position for digital asset businesses from 30 June 2026 to 30 September 2026, granting an additional three months to apply for or vary an Australian Financial Services licence. The extension followed ASIC's update to Information Sheet 225 Digital assets: Financial products and services (INFO 225), which required additional time for businesses to assess revised guidance and prepare compliant applications. ASIC simultaneously broadened the no-action position to cover businesses operating as authorised representatives of an AFS licence holder and those entering intermediary authorisation arrangements.
The statutory obligation sits in Part 7.6 of the Corporations Act 2001 (Cth), which requires any person carrying on a financial services business to hold an AFS licence or rely on an exemption. ASIC's INFO 225 specifies which digital-asset activities constitute regulated financial services under Chapter 7 of the Corporations Act, covering exchange, custody, and investment product distribution. The no-action position is a published administrative undertaking by ASIC not to pursue enforcement action for unlicensed conduct where a licence application or variation is lodged before 30 September 2026; it does not alter the underlying statutory duty to be licensed.
Digital asset exchange operators, custodians, issuers of digital investment products, and authorised representatives serving Australian retail and wholesale clients must file an AFS licence application or variation by 30 September 2026 to remain within the no-action scope. Businesses operating under authorised representative or intermediary authorisation arrangements with an existing AFS licence holder also fall within the expanded relief. Firms that do not lodge an application by the deadline and continue carrying on financial services risk civil penalties of up to 10 per cent of annual turnover and criminal prosecution under the unlicensed financial services provisions of the Corporations Act 2001 (Cth).
ASIC has not signalled any further sector-wide extension beyond 30 September 2026. The Digital Asset Framework Act, scheduled to commence on 9 April 2027, will introduce Digital Asset Platforms and Tokenised Custody Platforms as new categories of financial products requiring AFS licence authorisation. Operators should not assume that a licence lodged under the current AFS regime automatically covers the categories introduced by the Digital Asset Framework Act; separate licence variations will be required once the Act commences.
Licentium advises digital asset businesses on Australian AFS licensing, APAC regulatory strategy, and cross-border compliance. If your organisation needs to assess its position against ASIC's updated no-action scope or complete an AFS licence application before the September 2026 deadline, we can assist directly or through our partner network. Work we undertake includes digital-asset licensing, AFS regulatory compliance, APAC crypto advisory, and Digital Asset Framework Act transition planning.