Crypto is just finance on different infrastructure: ASIC

Australia's securities regulator says blockchain and crypto perform the same functions as existing financial infrastructure and should not be treated as separate asset classes. In a paper presented at the Melbourne Money & Finance Conference, ASIC’s head of fintech Rhys Bollen said they should be regulated on “economic substance rather than technological form.” He set out how familiar rules could apply: tokenized securities should fall within securities laws, stablecoins should trigger payment services legislation, and other crypto elements may be covered by consumer protection rules.

“Digital assets largely represent new technological instances of longstanding financial activities. While the mechanisms of issuance, transfer and record-keeping have changed, the underlying economic functions served by these instruments have not.” Australia is already moving this way through the Digital Asset Framework bill, which seeks to amend parts of the Corporations Act.

“The Bill does not abandon the existing financial services framework.

Australia, Melbourne

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