The Reserve Bank of Australia (RBA) said on Tuesday that it has begun work toward building the legal and market infrastructure required for tokenized asset markets, coordinating with regulators on rules that could allow the products to trade at scale within the country’s capital markets and financial system.
RBA Assistant Governor Brad Jones noted that the question was no longer whether tokenization had a future in Australia, but how it could be implemented. He even called it an “inevitable trend.” His statement follows the conclusion of the central bank’s Project Acacia research program, which experimented with tokenized assets and money.
RBA to work with ASIC and AUSTRAC
The central bank said it would work with regulators, including the Australian Securities and Investments Commission (ASIC) and the Australian Transaction Reports and Analysis Centre (AUSTRAC), and industry leaders to design a market infrastructure framework covering the legal definition of tokenized assets, settlement structures, and platform licensing standards.
The RBA noted that tokenization of real-world assets (RWA) could improve efficiency and reduce risk in wholesale markets, particularly if tokenized assets and money can be settled on synchronized systems. It estimates the program to add about A$24 billion ($16.6 billion) to the economy annually.
The bank said further work on the Project Acacia would focus on settlement infrastructure, tokenized bank deposits, stablecoins, and the potential role of a wholesale central bank-issued digital currency.
Paul Stonham, chief commercial officer at leading Australian crypto exchange BTC Markets and a member of the advisory group for Project Acacia, called the RBA’s decision to move from “exploratory pilots” to a “longer-term, stage-gated sandbox environment” a key step needed to move tokenized assets into real markets and make them work in the country.
Senate Backs Crypto Licensing Rule
Last week, the Senate Economics Legislation Committee handed down its report on the government’s proposed digital asset regulatory framework, backing legislation that would bring crypto platform and custody services under Australia’s financial services regime.
The Corporations Amendment Bill 2025 – also known as the Digital Assets Framework – would amend the Corporations Act and ASIC Act to create a licensing and compliance regime for businesses that hold or manage digital assets on behalf of clients. Under the framework, operators of digital assets platforms and tokenized custody services would need to hold an Australian Financial Services License, comply with asset-safeguarding standards, and meet disclosure requirements when onboarding retail clients.
The Senate Committee said the proposed changes are aimed at closing regulatory gaps that currently allow businesses to hold large amounts of client digital assets without the safeguards mandated in traditional finance. The bill also provides clear definitions for digital tokens, digital asset platforms, and tokenized custody platforms, aiming to bring crypto platforms under existing financial-services law rather than regulating blockchain technology itself.
Once enacted, the Digital Assets Framework would offer a six-month transition period for service providers that do not already hold an Australian Financial Services License. The bill now proceeds through the next stages of the parliamentary process as lawmakers consider the passage of the country’s first comprehensive regulatory framework for digital asset platforms.
