The Australian Securities and Investments Commission (ASIC) has urged businesses relying on its sector wide no action position for digital assets to apply for an Australian Financial Services (AFS) licence by September 30 or risk being penalized.

 

The sector wide no action position, which was introduced on October 29, 2025, when ASIC updated its INFO 225 guidance, provided greater clarity on why digital asset businesses operating in the country may need an AFS licence.

 

Recognizing that several crypto businesses still needed time to understand the new guidelines, ASIC extended the deadline for mandatory AFS licensing from June 30 to September 30.

 

Although the response from businesses regarding compliance appears to have been positive, with ASIC recording more than 45 applications, the regulator has issued a final reminder to businesses yet to comply with the directive.

 

According to the regulator, businesses that fail to obtain the required AFS authorization by the September deadline risk breaching the country’s financial laws and could face civil and criminal penalties that could potentially reach 10% of their annual company turnover.

 

ASIC’s reminder to comply with the new regulatory guidelines comes at a time when the Australian Transaction Reports and Analysis Centre (AUSTRAC), the country’s anti money laundering and counter terrorism financial intelligence unit, is stepping up enforcement against businesses providing regulated virtual asset services without being properly enrolled under Australia’s AML/CTF regime.

 

So far, about four crypto firms have been suspended, including Cryptolink, whose registration has been withdrawn, while about 96 of its crypto ATMs have been taken down across the country.

 

BitGo Korea, the South Korean entity of global digital asset infrastructure company BitGo, has secured a Virtual Asset Service Provider (VASP) license from the country’s regulator.

 

The license, issued by the Korea Financial Intelligence Unit, an entity under the Financial Services Commission, allows BitGo to operate as a recognized virtual asset service provider in the country, offering services such as virtual asset custody, transfers, and management.

 

 

“For a global company seeking to operate its business in Korea over the long term, it is essential to have its technology and systems validated within Korea’s regulatory framework,” said Chen Fang, CEO of BitGo Korea and chief revenue officer at BitGo.

 

“We believe BitGo’s VASP registration will go beyond being simply a case of an individual company entering Korea and serve as a model for establishing standards of regulatory compliance and accountability for foreign companies entering the Korean market.”

 

While BitGo is not the only virtual asset service provider in the country, with approximately 29 registered virtual asset providers operating in South Korea, its VASP registration is significant because it marks the first time a foreign company has secured a VASP registration directly.

 

Unlike the usual approach taken by foreign VASPs, which often acquire a local Korean operator, BitGo entered the market directly by securing a VASP registration from South Korea’s Financial Intelligence Unit.

 

In entering the Korean market, BitGo had the support of Hana Financial Group, one of South Korea’s five largest financial holding companies, and SK Telecom, one of the country’s largest telecommunications companies.

 

As major shareholders, Hana Financial Group acquired a 25 percent stake in BitGo, while SK Telecom acquired a 10 percent stake in BitGo Korea.

 

BitGo’s entry into the Korean market comes at a time when the country maintains strict regulations for digital asset firms, with authorities cracking down on violators. This was evident on Monday when South Korean authorities restricted access to Polymarket over the company’s alleged violation of the country’s sports promotion laws.