Australia’s corporate regulator has hit Gold Coast-based BPS Financial with a AU$14 million ($9.6 million) fine for operating and promoting its controversial ‘Qoin Wallet’ crypto product.
The Federal Court ruling, announced Tuesday, marks a significant enforcement action in the country’s growing push to regulate digital assets.
BPS Financial, which also runs Block Trade Exchange, had promoted a self-issued cryptocurrency called Qoin and a linked “non-cash payment” wallet.
The company had claimed that Qoin could be swapped for Australian dollars through other exchanges and insisted that its operations were regulated. However, the firm does not hold an Australian license, a key point in ASIC’s case.
According to Tuesday’s statement, BPS Financial also made multiple false and misleading claims about the Qoin Wallet.
ASIC lawsuit over unlicensed crypto promotion dates back to 2022
ASIC first took the firm to court in 2022, accusing it of unlicensed conduct and the misleading promotion of crypto assets.
According to the regulator, BPS Financial operated without proper authorization for nearly three years, issuing Qoin and actively marketing its wallet to investors.
The Federal Court confirmed in 2024 that the company’s conduct violated Australian corporate and financial laws.
“Given the nature of these products, providers must hold the proper licenses and approvals,” said ASIC Chair Joe Longo.
The Federal Court has ordered the company to pay a total of AU$14 million, divided across the charges. The firm is bound to pay AU$12 million for misleading statements and AU$2 million for operating without a license.
“The scale of these penalties highlights the seriousness of BPS Financial’s misconduct and is meant to send a clear warning to the digital asset sector,” Longo added.
ASIC flags unlicensed advice, regulatory gaps as key crypto risks for 2026
The fine on BPS Financial comes at a time when ASIC has been raising an aram about risks related to unregulated crypto assets.
Recently, the financial regulator in its 2026 risk report indicated that crypto assets still present challenges, which include unlicensed advice, misleading behaviours, and the exploitation of regulatory grey areas.
However, the report indicated that the government should assess whether crypto assets should be included in the licensing framework.
ASIC has also emphasized that the licensing framework will remain one of the top priorities in 2026. This will likely help the crypto market grow, operating under a transparent environment.