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Crypto businesses operating in Australia are running out of runway. The country’s temporary enforcement relief for digital asset firms expires after September 30, and companies that miss the deadline could face civil and criminal penalties, including fines reaching 10% of annual turnover.
The looming cutoff marks the end of a transition period the Australian Securities and Investments Commission has already extended once, and this time there’s no indication another extension is coming.
What Businesses Need to Do Before the Deadline
The requirements differ depending on what kind of business a company runs. Firms that need an Australian Financial Services licence must either submit a new application or request changes to an existing one by September 30 to stay within ASIC’s no-action position. Businesses requiring market or clearing and settlement licences face a separate track — they need to notify ASIC and complete a pre-application meeting before the same deadline.
Miss either process, and starting October 1, any business operating without the required authorization could be in breach of Australian financial services law, exposing it to the penalties ASIC has outlined.
Applications Are Climbing, But Time Is Short
ASIC said Wednesday that it has now logged more than 45 digital asset-related licence applications since revising its guidance in October 2025. That’s a notable jump from the roughly 30 applications the regulator reported back in June, when it extended the original June 30 cutoff to September 30.
That June extension didn’t just buy more time — it also broadened who qualifies for relief, expanding coverage to crypto businesses acting as authorized representatives of already-licensed firms, as well as those operating under certain intermediary arrangements. The rising application count suggests more firms are moving to comply, but with weeks left, the pool of businesses still not covered remains a real concern for the industry.
Also Read: UK Gives Bank of England New Stablecoin Innovation Role — What Changes Next?
A Separate, Longer-Term Framework Is Still Coming
It’s worth noting that this transitional relief is a distinct process from Australia’s broader Digital Asset Framework, which isn’t scheduled to take effect until April 2027. In other words, the September 30 deadline isn’t the finish line for crypto regulation in Australia — it’s a narrower, more immediate compliance checkpoint that exists ahead of that larger overhaul.
The Bottom Line
For crypto firms operating in Australia, the message from ASIC is clear: the grace period is ending, and the cost of missing it is steep. With more than 45 applications already filed and the clock running out, businesses still sitting on the sidelines have only days left to get their paperwork in order before enforcement risk kicks back in on October 1.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
