Australia Eases Regulations for Stablecoin and Wrapped Token Distribution

According to Cointelegraph, the Australian Securities and Investments Commission (ASIC) has introduced new exemptions to facilitate the distribution of stablecoins and wrapped tokens. Announced on Tuesday, these measures aim to promote innovation and growth within the digital assets and payment sectors. The regulator is providing 'class relief' for intermediaries involved in the secondary distribution of specific stablecoins and wrapped tokens. This development allows companies to operate without the need for separate, costly licenses, enabling them to use 'omnibus accounts' with appropriate record-keeping. The new exemptions build on previous stablecoin relief by eliminating the requirement for intermediaries to hold distinct Australian Financial Services (AFS) licenses when offering services related to stablecoins or wrapped tokens. This move is expected to level the playing field for stablecoin issuers. ASIC highlighted that these omnibus structures are prevalent in the industry, offering efficiencies in speed and transaction costs while aiding entities in managing risk and cybersecurity. Drew Bradford, CEO of Australian stablecoin issuer Macropod, noted that ASIC's announcement provides a clearer, more flexible framework for both new and established players, particularly concerning reserve and asset-management requirements. This change is anticipated to reduce friction and instill confidence in the sector. The previous licensing requirements were burdensome and posed compliance challenges, especially for an industry awaiting broader digital asset reforms. Bradford emphasized that this clarity is crucial for scaling real-world use cases, including payments, treasury management, cross-border flows, and on-chain settlement. He added that the move signals Australia's intent to remain globally competitive while maintaining necessary regulatory safeguards. Angela Ang, head of policy and strategic partnerships at TRM Labs, also welcomed the development, expressing optimism about the future of digital assets regulation in Australia and its potential to drive growth and innovation. Globally, the stablecoin market has experienced significant growth, with a total market capitalization exceeding $300 billion, as reported by RWA.xyz. This represents a 48% increase since the start of the year, with Tether maintaining its position as the dominant issuer, holding a 63% market share. The surge in stablecoin markets continues into 2025, with Tether's dominance remaining unchallenged.