Shift Markets Response to ASIC’s Consultation Paper 381 on Updates to INFO 225: Digital Assets: Financial products and services

28 February 2025

In February 2025, we responded to the Australian Securities and Investments Commission’s (ASIC), the integrated corporate, markets, financial services and consumer credit regulator, proposed updates to INFO 225. ,.

Information Sheet 225 (INFO 225) aims to help businesses involved in digital assets better understand their obligations under the Corporations Act 2001 (Corporations Act) and the Australian Securities and Investments Commission Act 2001 (ASIC Act). Considering the developments and evolution in the digital asset space, INFO 225 provides additional information on matters such as when a digital asset may be considered a financial product and when a financial service license may be required. The consultation aims to clarify the regulatory framework for digital assets, ensuring that these assets are treated consistently within Australia’s broader financial ecosystem.

Shift Markets has provided a detailed response to the consultation, focusing on the following key areas:

• Proposed worked examples for classification as a financial product
• Regulatory obligations for digital asset service providers, including licensing and reporting requirements
• Specific considerations for wrapped tokens, stablecoins, and crypto derivatives

The updated INFO 225 is expected to be released by ASIC in Q2 2025.

See our full response here.