Australia Moves to Protect Crypto Consumers by Licensing Stablecoin Providers

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In a significant move for consumer protection, Australia‘s financial regulator has decreed that providers of stablecoins, wrapped tokens, and digital asset wallets must now be licensed.

The Australian Securities and Investments Commission (ASIC) stated that classifying these assets as financial products ensures users receive the full suite of legal protections.

“Licensing allows ASIC to act when poor practices lead to harm,” said a commissioner. The regulator has provided a grace period until mid-2026 for companies to adapt to the new requirements.