Coinbase Australia has gained an Australian Financial Services Licence (AFSL) with retail derivatives authorisation from the Australian Securities and Investments Commission (ASIC).
This licence, which includes a retail derivatives authorisation, enables Coinbase to provide leveraged crypto products to retail clients in Australia.
The AFSL is issued prior to the anticipated passage of the Corporations Amendment (Digital Assets Framework) Bill 2025. This legislation is expected to mandate that digital asset exchanges obtain such a licence as part of broader reforms for crypto platforms. By securing this licence in advance, Coinbase aims to be among the first crypto operators to meet these upcoming standards.
Under the AFSL terms, Coinbase Australia intends to offer crypto and equity perpetuals to its Australian customers. Futures and options products are also planned for future release. The company sees this as part of a broader strategy to expand its product range into areas traditionally associated with conventional financial services, such as stock trading and payments, through the Coinbase application.
Coinbase first entered the Australian market in 2016. In 2022, it established a local entity, Coinbase Australia Pty Ltd, which registered with AUSTRAC, the financial intelligence unit of Australia’s anti-money laundering and counter-terrorist financing efforts. The local platform then launched PayID support, advanced retail trading features, and round-the-clock customer service. Additionally, Coinbase partnered with RMIT University’s Blockchain Innovation Hub for Web3 research and joined the Digital Economy Council of Australia.
Regulatory Obligations
The AFSL imposes on Coinbase Australia obligations similar to those of other licensed financial services providers in Australia, including conduct, disclosure, governance, and consumer protection duties. The official overseeing the AFSL brings experience from both a major Australian online broker and senior roles at ASIC, covering market structure and regulatory policy.
Market Positioning
Australia is a significant crypto market with one of the highest adoption rates globally. Coinbase’s progress in securing this licensing framework underscores the broader industry trend toward formal regulatory structures in key markets, as governments increasingly integrate digital asset activities into existing financial services infrastructure.
While the AFSL does not directly authorise Coinbase under the pending legislation, it establishes a compliance framework aligned with incoming regulations. The company plans to continue engaging with ASIC and Australia’s Treasury on finalising the regulatory framework details.
