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AFSL Licensing

Definition

AFSL Licensing refers to the requirement for certain financial service providers in Australia to hold an Australian Financial Services License. This license permits entities to offer specific financial products or advice within the Australian jurisdiction. In the digital asset sector, obtaining an AFSL is crucial for businesses providing crypto-related financial products, such as investment advice, dealing, or custody services, ensuring compliance with Australian regulatory frameworks and consumer protection laws. This licensing regime helps differentiate legitimate operators from unregulated ventures.