Regulating Digital Asset Platforms: The What, Why and How


The Australian Securities and Investments Commission (ASIC) released a proposed framework for regulating digital asset platforms in Australia. These platforms hold billions of dollars of digital assets for Australians and provide financial services such as trading and staking. 


In fact, recent data from the 2025 Independent Reserve Crypto currency Index (IRCI) indicates that approximately 31-32.5% of Australians have owned crypto currency. What’s more, a significant portion of Australian crypto investors report holding and actively investing in digital assets. The 2025 IRCI found that 20.5% of Australian crypto investors are investing $500 or more each month.


The framework aims to integrate digital asset platforms into the financial services regulatory landscape, ensuring consistent oversight while supporting responsible innovation. Ultimately, the goal is to create a clear set of rules that promote growth and competition, while mitigating risk to consumers and investors. 


So, what are digital asset platforms and why are lawmakers regulating them? More importantly, what do these changes mean for businesses like yours? Here’s everything you need to know. 


What are Digital Asset Platforms?

Australians’ interest in digital and crypto assets is expanding fast, reshaping the finance industry, investments and global trade. Let’s cover some key terms that define this space: 


  • Digital tokens are units or records that represent value, ownership or access rights to digital assets. These include cryptocurrency tokens (like Bitcoin) and non-fungible tokens (i.e. for art and in-game items). 


  • Asset tokenisation converts physical or financial assets — like real estate or stocks — into digital tokens. These tokens get traded on blockchain platforms. The process of tokenisation enables fractional ownership of virtual assets and can increase liquidity.


  • Digital assets are the digital tokens and platform entitlements they grant their holder. They may include:


  • Cryptocurrency: Bitcoin (BTC) and Ethereum (ETH) are popular examples of cryptocurrencies, bought, sold and traded on exchanges like Swyftx and CoinSpot.
  • Stablecoins: Stablecoins like AUDD and USDC maintain a steady value by being pegged to real-world assets like the Australian dollar or U.S. dollar.
  • Security tokens: These tokens are legally classified as securities, and represent partial ownership in a business.
  • Central Bank Digital Currency (CBDCs): A government-backed digital currency that makes transactions faster and more secure while keeping the stability of traditional money.

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Digital asset platforms hold and transact massive value for Australians. Industry reports indicate that the revenue of cryptocurrency exchanges in Australia is growing, reaching an estimated $470.2 million AUD in 2024-25. Increased engagement exposes investors to significant risk. When a digital asset platform collapses locally or globally, consumers may lose their assets or have to navigate complex insolvency proceedings, delaying access to their funds. 


The regulatory reform aims to balance three pillars within the space — consumer protection, market integrity and financial innovation — by standardising operational rules, thereby increasing trust and transparency. 


What are the Digital Asset Platform Regulations?

The proposed regulations require digital asset platforms to obtain an Australian Financial Services Licence (AFSL) from ASIC. Additional obligations will also apply to platforms offering “financialised functions” such as token trading, to bring them under market regulations. 


The regulatory framework is designed to align with existing financial services law, reinforcing the “same activity, same risk and same regulatory outcome” principle. This concept is also supported by international regulators like the International Organisation of Securities and Commissions (IOSCO).


ASIC is actively shaping these regulations, supporting the Australian Treasury in policy development and preparing for future enforcement. Regulatory oversight will be shared among three key regulators, including:


  • ASIC: Ensuring compliance with the Corporations Act.
  • The Australian Government: Leading policy and legislative development.
  • IOSCO: Providing international regulatory recommendations.


Simplify Digital Asset Platform Compliance


The ASIC crypto regulation in Australia marks a significant shift for digital asset platforms. With new AFSL requirements, governance obligations and custodial standards on the horizon, businesses must act now to ensure compliance.


Understanding these changes is just the first step. For many digital asset platform providers, figuring out how new regulations apply to their operations is where the real challenge lies. Whether you’re navigating AFSL requirements, asset protection standards or evolving market rules, staying ahead means having the right strategy and support in place.


That’s where MIntegrity comes in. We help digital asset service providers assess their regulatory exposure, implement compliance frameworks and prepare for licensing under the new regime.