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<p style="text-align: justify">You can also read this news on COINTURK NEWS: <a href="https://en.coin-turk.com/asic-updates-digital-asset-guidelines-to-clarify-financial-product-definitions/" data-wpel-link="internal" rel="noopener noreferrer nofollow">ASIC Updates Digital Asset Guidelines to Clarify Financial Product Definitions</a><br></p>
<p style="text-align: justify">The Australian Securities and Investments Commission (ASIC) has published a new consultation paper updating its digital asset guidelines and related financial products. The regulator aims to provide greater clarity on how the existing financial product definition applies to <a href="https://en.coin-turk.com/crypto-traders-formulate-strategies-for-medium-and-long-term-goals/" data-wpel-link="internal" rel="noopener noreferrer nofollow">cryptocurrencies</a>.</p>
<h2 id="asic-introduces-updates-in-crypto-guidelines">ASIC Introduces Updates in Crypto Guidelines</h2>
<p style="text-align: justify">Today, ASIC released Consultation Paper 381 (CP 381), summarizing updates related to Information Sheet 225 (INFO 225). These updates seek to clarify whether certain traditional market rules also apply to <a href="https://en.coin-turk.com/the-next-bull-cycle-could-cause-a-crypto-market-explosion-according-to-former-goldman-sachs-executive/" data-wpel-link="internal" rel="noopener noreferrer nofollow">crypto</a> assets.</p>
<blockquote>
 <p>“We want to ensure consumer protection while promoting the growth of responsible financial innovation. A well-regulated financial system benefits the community by supporting consumer confidence, market integrity, and facilitating competition and innovation.”</p>
</blockquote>
<p style="text-align: justify">ASIC Commissioner Alan Kirkland emphasized the importance of balancing responsible financial innovation with consumer protection.</p>
<h2 id="crypto-sector-raises-concerns">Crypto Sector Raises Concerns</h2>
<p style="text-align: justify">Crypto industry experts noted that the new regulatory rules will make compliance mandatory, prompting market players to closely examine these updates. Some experts express concern that ASIC’s draft guidance may leave crypto ventures vulnerable, potentially driving firms out of Australia.</p>
<blockquote>
 <p>“The updated guidance could make starting a crypto business in Australia as costly as, or even more than, starting one overseas.”</p>
</blockquote>
<p style="text-align: justify">Crypto attorney Joni Pirovich stated on LinkedIn that high compliance costs could put local businesses in a difficult position.</p>
<h2 id="changes-in-digital-asset-regulations">Changes in Digital Asset Regulations</h2>
<p style="text-align: justify">Australia’s digital asset market is evolving due to global developments and the emergence of crypto ETFs. As clarity in digital asset regulations increases, asset manager Monochrome launched an Ethereum ETF in response to rising local demand.</p>
<p style="text-align: justify">Additionally, Circle expanded its USDC stablecoin operations to Australia, collaborating with venture capitalist Mark Carnegie’s MHC Digital Group. This partnership aims to enhance the availability and accessibility of USDC in the region.</p>
<p style="text-align: justify">ASIC will gather feedback on these updates until February 28, 2025, and will publish the final version of INFO 225 in mid-2025 based on the responses received. The regulator will continue to utilize its regulatory tools to protect consumers and maintain market integrity in the digital asset space.</p>
<p style="text-align: justify">In conclusion, ASIC’s updates to the digital asset guidelines aim to facilitate the integration of financial products into the <a href="https://en.coin-turk.com/crypto-market-slump-regulatory-pressures-and-falling-demand-shake-up-the-scene/" data-wpel-link="internal" rel="noopener noreferrer nofollow">crypto market</a>, although they face criticism from some smaller market players. While the clarification of regulations is positive for the market, rising compliance costs may lead some firms to relocate overseas.</p>
<p>The post <a href="https://en.coin-turk.com/asic-updates-digital-asset-guidelines-to-clarify-financial-product-definitions/" data-wpel-link="internal" rel="noopener noreferrer nofollow">ASIC Updates Digital Asset Guidelines to Clarify Financial Product Definitions</a> appeared first on <a href="https://en.coin-turk.com" data-wpel-link="internal" rel="noopener noreferrer nofollow">COINTURK NEWS</a>.</p>

ASIC Updates Digital Asset Guidelines to Clarify Financial Product Definitions

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