Licensing and regulation

When preparing your application for Innovation Hub assistance, you need to review information on licensing and consider whether your business needs one to operate. Learn about different licences and your ongoing obligations here.


When applying for assistance through the Innovation Hub, you will need to describe how you think the law or regulatory framework could apply to your business.

This involves considering:

  • if you need a licence
  • authorisations you need to apply for
  • what you need to provide to ASIC to get those licence authorisations.

ASIC issues Australian financial services (AFS) licences and Australian credit licences (credit licences), and regulates Australian market licencees. Once licensed, you will need to meet ongoing obligations related to your licence.

If you have an idea of the kind of licence that you may need, you can access the detailed information below.

AFS licence

Financial services businesses in Australia generally need to hold an AFS licence or be authorised by a licensee to operate. Exemptions do apply and are examined on a case-by-case basis. Learn more about AFS licences.

Credit licence

Business engaging in credit activities generally need to hold a credit licence or be authorised by a licensee to operate. Learn more about credit licences.

Licensed and exempt market operators

If you operate a financial market you must obtain an Australian market licence, or an exemption from the Minister. Learn more about financial market operators.

For more information, you may wish to read our detailed advice on licensing and regulation and the Regulatory Index on the ASIC website.

You may also wish to obtain separate legal advice to help determine the best course of action for your business.

Fintech licensing exemption

Under our fintech licensing exemption eligible businesses are able to test specified services for up to 12 months, with up to 100 retail clients, as long as they meet certain consumer protection conditions.

If you are unable to rely on the fintech licensing framework, you are able to seek an individual exemption. For more information, you may wish to read our advice on ASIC's licensing flexibility and our policy on individual exemptions.

Tips

  1. Research licence types as you prepare your application for assistance through the Innovation Hub.
  2. Ensure you have read all of the related information.
  3. Decide if you need external legal support.
  4. Understand your ongoing obligations.

Licensing guidance for some business model examples can be accessed below.

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News

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ASIC signs fintech Co-operation Agreement with OJK to promote innovation in financial services

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The Australian Securities and Investments Commission (ASIC) and Indonesia's Otoritas Jasa Keuangan (OJK) have entered a Co-operation Agreement to promote innovation in financial services in their respective markets.

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The future of fintech and regulation

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ASIC Chairman Greg Medcraft addressed the British Australian Fintech Forum 2017 on how ASIC is supporting fintech and innovation while ensuring trust and confidence in the financial sector.

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Regtech and regulatory sandbox Q&A session

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Podcasts

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Mark Adams on ASIC’s Regtech Roundtable

The roundtable facilitated discussion on the current regtech landscape and its development and future potential to promote good risk management and compliance outcomes, and drivers and barriers to regtech in Australia, including what the industry and ASIC can do to help promote the development and application of regtech.

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Last updated: 03/04/2017 11:51