Australia Imposes New Regulations on Crypto Exchanges

Australia has introduced its first comprehensive regulatory framework targeting cryptocurrency exchanges and custodial services. The Corporations Amendment (Digital Assets Framework) Bill 2025, spearheaded by Treasurer Jim Chalmers and Financial Services Minister Daniel Mulino, reclassifies many digital tokens and stablecoins as financial products. This aligns with recommendations from the Australian Securities and Investments Commission (ASIC).

The legislation imposes stringent controls akin to traditional financial institutions, aiming to mitigate risks in the rapidly growing digital asset sector. New categories under the Corporations Act will govern crypto-related activities, with a focus on consumer protection and market integrity.

While the move brings legitimacy to Australia's crypto ecosystem, it raises questions about compliance costs for smaller operators and potential impacts on adoption rates. The framework reflects a global trend of increasing regulatory scrutiny as digital assets gain mainstream traction.