Australia’s financial regulator ASIC has issued a last reminder to digital asset businesses that a temporary enforcement pause is ending. Companies that have been operating under ASIC’s sector-wide no-action position must complete the required licensing steps by 30 September 2026 or risk falling outside the law from 1 October.
The no-action stance covers providers of financial products and services tied to digital assets.
For many firms, that means lodging an application for an Australian Financial Services licence or seeking a variation to an existing one.
Others can remain within the relief by putting in place an authorised representative or intermediary arrangement with an already licensed AFS holder.
Businesses that need an Australian Market Licence or a clearing and settlement facility licence face a different set of conditions: they must notify ASIC in writing of their intention to apply and complete a pre-application meeting by the same September date.
A formal application then has to follow within 12 months of that notification.
ASIC has made clear that the relief is not a licence, a legal exemption, or a finding that any particular activity complies with the law.
From October, firms that still need authorization but have not met the conditions of the no-action position could be treated as operating in breach of financial services legislation.
Possible consequences include civil and criminal penalties, with fines that can reach as high as 10 per cent of annual turnover.
The regulator reports that more than 45 licence applications relating to digital asset financial services have been received since it updated Information Sheet 225 in October 2025.
That guidance explained when existing financial product laws apply to assets such as certain tokens, wallets and tokenised instruments.
An earlier June 2026 update extended the original June deadline by three months and widened the relief to cover authorised representative and intermediary structures, describing the change as a practical response to transition difficulties across the industry.
ASIC presents the close of the transitional period as an important move toward bringing digital asset activity inside the ordinary regulatory perimeter.
The aim, it says, is stronger consumer protection and greater market integrity.
The Corporations Amendment (Digital Assets Framework) Act 2026, passed in April 2026, takes effect on 9 April 2027.
Many of the authorisations now being sought will still be needed after that date.
ASIC has published an implementation roadmap that includes consultation on new standards, the release of further regulatory guides, and continued engagement with industry.Not every crypto-related business automatically requires an AFS license.
The obligation depends on the precise products and services offered. Firms that decide not to seek authorisation can wind down the relevant activity, provided they notify ASIC by the deadline and cease the covered services within the allowed period.
The message from the regulator is that the remaining weeks should be treated as a hard operational cutoff.
Companies in Australia that are still relying on the no-action position need to determine which pathway applies, complete the necessary filings or meetings, and document their steps. After 30 September, the temporary shield ends.