On 18 September 2025, the Australian Securities and Investments Commission (ASIC) announced the ASIC Corporations (Stablecoin Distribution Exemption) Instrument 2025/631 (the Instrument) together with an explanatory statement.
Temporary relief for named stablecoins
The Instrument provides temporary regulatory relief for distributors of certain stablecoins in Australia. The instrument specifically exempts distributors of a named stablecoin from the requirement to hold an Australian financial services licence, an Australian market licence, and/or an Australian clearing and settlement facility licence under Chapter 7 of the Corporations Act 2001. The exemption responds to concerns that there would otherwise be a significant cost and compliance burden on distributors due to the costs:
- associated with applying for one or more licences; and
- of ongoing compliance with those licences..
As at the date of the execution of the Instrument, ASIC has identified one named stablecoin that the Instrument will apply to. It is intended that the Instrument will be amended to include other stablecoins in the future as appropriate.
Distributors relying on the exemption must make available to retail clients the most current Product Disclosure Statement (PDS) for the named stablecoin.
Sunset clause
The Instrument commences 20 September 2025 and is set to be repealed on 1 June 2028. This sunset clause reflects the temporary nature of the relief, intended to bridge the gap until the government’s law reforms are enacted.
Broader reforms
In December 2024, ASIC issued Consultation Paper 381 Updates to INFO 225: Digital assets: Financial products and services (CP 381). CP 381 included the position that some stablecoin issuers require a licence under the current law, as some stablecoins are a financial product under the current general definitions. ASIC is finalising updates to INFO 225 and expects to publish it in coming weeks, as well as key thematics and public submissions received in response to CP 381.