ASIC sets 30 September 2026 application deadline for affected digital asset facility providers

ASIC has issued a final reminder to affected digital asset facility providers to act before 30 September 2026.

The deadline should not be read as a new licensing requirement for every financial planning practice with digital asset exposure. ASIC's notice concerns providers of digital asset facilities within the relevant licensing regime, including existing operators relying on transitional arrangements. Those businesses need to establish whether they must apply for the required Australian financial services licence, or cease the affected activity by the applicable deadline.

ASIC's final call is available [here](https://www.asic.gov.au/about-asic/news-centre/news-items/final-call-for-firms-to-act-before-asic-s-digital-asset-licensing-deadline). The broader licensing framework sits within the [Corporations Act 2001](https://www.legislation.gov.au/C2004A00818/latest/text).

What the deadline does, and does not, mean for advice practices

The announcement is principally directed at the entity operating the digital asset facility. It is not a direction that every practice recommending, discussing or holding a digital asset must obtain a separate approval from ASIC.

The first question for a planning business is therefore whether it operates, controls or provides services through an affected digital asset facility. A practice that simply advises on a digital asset will need to consider the existing financial product advice rules if the asset or arrangement is a financial product. That is a separate question from whether the practice is itself a provider of a digital asset facility covered by ASIC's deadline.

Digital assets that are not financial products are not automatically brought within the financial services licensing regime merely because they are discussed with a client. Conversely, describing an activity as education, administration or access does not determine its legal status. The relevant facility, service and operating entity need to be assessed against the legislation and ASIC's guidance.

This distinction is important for advice businesses. Ordinary exposure to a digital asset in a client's portfolio does not, by itself, establish that the practice is an affected facility provider. The practice should not, however, assume that a related entity, platform arrangement or outsourced service is outside the regime without checking the structure.

Start with the affected entity and activity

For a practice or group with digital asset operations, the initial review should identify:

• the entity that provides the relevant facility or service
• the digital asset facility and activities covered by that entity's arrangements
• whether the entity is relying on transitional relief
• the licence or application required under the applicable framework
• the date by which an application must be made, or the activity must cease

This is narrower than a general review of every mention of digital assets in adviser communications. It is intended to establish whether the business is one of the providers addressed by ASIC's notice.

An advice practice should involve its licensee, responsible manager and legal or compliance advisers where it has more than a conventional advice relationship with a digital asset provider. That includes circumstances in which a group entity operates the facility, the practice has a commercial role in the arrangement, or clients are given access to a facility as part of the service model.

The relevant entity should also confirm the effect of the transitional provisions directly. The deadline in ASIC's notice should not be treated as proof that an application has been approved, or that an application automatically permits an entity to continue an activity while it is being assessed. Whether an entity may continue, and on what terms, depends on the applicable legislation, transitional arrangements and any relevant ASIC relief or conditions.

Keep the financial advice analysis separate

The licensing deadline does not replace the existing analysis required when an adviser provides financial product advice.

Where the digital asset, or an arrangement involving it, is a financial product, the practice must consider whether the advice is within the scope of its Australian financial services licence and authorisations. It should also check its approved product list, competence and supervision arrangements, record keeping and client disclosures under the existing advice framework.

Where the digital asset is not a financial product, the practice should not describe ASIC's deadline as creating a new financial product advice authorisation. Other legal, contractual and conduct issues may still arise, but they should be identified separately from the digital asset facility licensing question.

The conclusion should be recorded with the reasoning and the entity to which it applies. A practice should avoid using a broad label such as crypto advice to describe activities that may have materially different legal characteristics.

A focused practice checklist

Before the deadline, an advice business with a connection to a digital asset provider should be able to answer five questions:

• Is the practice, a related entity or a service provider operating an affected digital asset facility?
• Which entity is responsible for the activity?
• Is that entity relying on transitional arrangements, and what action do those arrangements require?
• If advice is being provided, is the asset or arrangement a financial product and is the advice within the relevant licence and authorisations?
• Where is the analysis, decision and supporting evidence recorded?

These are governance steps, not a substitute for advice on the application of the legislation to a particular structure. They are also different from assuming that every client holding a digital asset creates a licensing issue for the adviser.

If the practice is an affected provider, it should confirm promptly whether it must lodge an application or cease the relevant activity by 30 September 2026. If it is only an advice business dealing with digital assets, it should keep the focus on the existing financial product advice analysis and avoid presenting ASIC's facility-provider deadline as a universal adviser licensing deadline.¹