The Australian government has introduced a bill to regulate the crypto market.
Date: 2025-09-26 Author: Oliver Abernathy Categories: IN WORLD
The Australian government has published a draft law that, for the first time, establishes clear rules for the crypto industry and establishes tough penalties for companies that ignore the requirements. Crypto exchanges and service providers will now be required to operate under a license or face fines that can reach 10% of their annual turnover.
Deputy Treasurer Daniel Mulina announced the new provisions at the Global Digital Asset Regulation Summit, organized by the Council for the Digital Economy in Australia. He stated that operators who fail to obtain a license will be subject to financial penalties amounting to millions of dollars.
According to the draft law, all crypto platforms must obtain a license to provide financial services in the country and adhere to its standards, including a commitment to operate "fairly and fairly." Violations involving misleading customers, unfair contract terms, or deceptive practices are subject to fines of AUD 16.5 million ($10.9 million), three times the amount of the violation, or 10% of turnover, whichever is higher.
Industry representatives responded positively to the initiative. John O'Loghlen, Coinbase's Australian director and head of the company's APAC region, noted that clear regulation will not only strengthen the economy but also give consumers more choice and Australia a competitive advantage in the global market. He recalled that back in April, he called on the government to accelerate crypto reforms ahead of the May 3, 2025, elections.
Jonathan Miller of Kraken expressed a similar position. According to him, the publication of the bill is the result of a lengthy consultation process between the industry and the government, and its release can be considered an important step toward establishing transparent rules of the game.
The regulation will affect exchanges and custodial services working with tokenized assets. However, small operators will be exempt from licensing if their client accounts hold less than AUD 5,000 ($3,298.5) and their annual transaction volume does not exceed AUD 10 million (approximately $6.6 million).
Industry companies will have until October 24, 2025, to submit comments on the bill. This move is considered one of the most significant in the history of the Australian crypto industry, where global players including Coinbase and Kraken are active.
Australian authorities have been steadily strengthening their oversight of the crypto market in recent years. In June, AUSTRAC limited crypto ATM usage limits to $3,229, citing increased fraud and money laundering risks. And in July, Block Earner launched the country's first Bitcoin-secured mortgage program, which also attracted regulatory attention.
