As cryptocurrency investing becomes increasingly mainstream in Australia, the demand for trustworthy, strategic advice around digital assets is rapidly growing. However, not all crypto advice is created equal—and in fact, much of it circulating online is unregulated, misleading, or outright dangerous.
Engaging with a qualified, regulated crypto adviser in Australia ensures that your investments are guided by professionals who are trained, licensed, and legally obligated to act in your best interest.
In this comprehensive article, we explore the difference between regulated and unregulated crypto advice, the role of the Australian Securities and Investments Commission (ASIC), how to spot licensed professionals, and why it’s critical to engage only with advisers holding an AFSL crypto licence.
Understanding the Regulatory Landscape for Crypto Advice in Australia
Who Regulates Financial Advice in Australia?
In Australia, the provision of financial advice is overseen by the Australian Securities and Investments Commission (ASIC). ASIC enforces the Corporations Act 2001, which governs how financial services are delivered, and ensures advisers:
- Hold appropriate qualifications
- Act in their clients’ best interests
- Comply with disclosure, record-keeping, and compliance standards
- Are covered by dispute resolution and insurance protections
Is Cryptocurrency Financial Advice Regulated?
Yes. If someone provides personal or general financial advice related to cryptocurrency or digital assets, it falls under regulatory oversight—especially if the advice influences decisions about:
- Buying or selling crypto assets
- Crypto within superannuation (including SMSFs)
- Integrating crypto into a diversified portfolio
- Token sales or staking products
Although cryptocurrency itself is not classified as a financial product in every case, the advice surrounding it often is—triggering ASIC’s jurisdiction.
What Is a Regulated Crypto Adviser in Australia?
What Does Holding an AFSL Mean?
A regulated crypto adviser is a person or business that either:
- Holds an Australian Financial Services Licence (AFSL), or
- Is an authorised representative of someone who holds an AFSL
Holding or operating under an AFSL means the adviser can legally provide financial advice, and must:
- Follow ASIC’s Code of Ethics and Best Interest Duty
- Undertake continuing education
- Be subject to annual audits and compliance reviews
- Participate in external dispute resolution through AFCA
This protects clients and helps ensure advice is unbiased, professional, and compliant.
Services Regulated Crypto Advisers Can Provide
A licensed crypto adviser can help you:
- Build a diversified portfolio that includes digital assets
- Structure cryptocurrency holdings in your SMSF
- Navigate crypto tax implications in coordination with accountants
- Develop a risk-adjusted investment strategy that aligns with your goals
- Avoid scams, misinformation, and poorly structured schemes
How to Check if an Adviser Is Licensed
To verify whether a financial professional is authorised to provide crypto advice:
- Search the ASIC Financial Advisers Register (https://moneysmart.gov.au/financial-advice/financial-advisers-register)
- Look for:
- Name and licence/representative number
- AFSL number and licensee details
- Qualifications, training, and specialisations
- If in doubt, ask the adviser to provide their AFSL number and confirm their authority to provide advice on crypto assets
What Is Unregulated Crypto Advice?
Types of Unlicensed Advisers You Might Encounter
There’s an explosion of self-proclaimed “crypto experts” offering investment guidance without any formal training, accountability, or oversight. Common examples include:
- Social media influencers on YouTube, TikTok, Twitter, and Telegram
- “Crypto coaches” or “mentors” selling courses or investment signals
- Pump-and-dump groups encouraging coordinated coin buying
- NFT or DeFi promoters offering advice without financial qualifications
- Unlicensed newsletters or Discord communities
These figures often operate outside ASIC’s regulation—and outside Australian consumer protections.
Why Unregulated Advice Is Risky
Relying on unlicensed crypto advice opens you to major risks:
- No duty of care – They aren’t required to act in your best interest
- Lack of training – They may not understand asset risk, tax, or compliance
- No insurance or recourse – You can’t lodge a formal complaint or claim
- Scam exposure – Some influencers profit from undisclosed partnerships or market manipulation
- Hype-driven decisions – Advice may be based on emotion, speculation, or misinformation
ASIC has repeatedly warned consumers to avoid relying on financial advice from unlicensed individuals, no matter how confident or charismatic they seem.
Legal Consequences of Giving or Receiving Unlicensed Crypto Advice
ASIC’s Stance on Crypto Advice
ASIC has made it clear: providing unlicensed financial advice in Australia is illegal.
If someone offers crypto-related recommendations that are:
- Personalised to your circumstances, and
- Likely to influence a decision about a financial product
…then that advice must be delivered under an AFSL or by an authorised representative.
Unlicensed providers face:
- Fines and penalties
- Bans from the industry
- Criminal prosecution in serious cases
ASIC has already taken enforcement action against crypto influencers and companies promoting unlicensed financial products.
Risk to Investors
If you act on unlicensed advice, you may:
- Lose your entire investment due to poor structuring or scams
- Have no legal recourse through AFCA (Australian Financial Complaints Authority)
- Unknowingly trigger tax or legal obligations
- Fall victim to rug pulls, phishing attacks, or high-risk DeFi projects
Working with a regulated crypto adviser in Australia dramatically reduces these risks.
Choosing a Compliant Crypto Financial Adviser
What to Look for in a Regulated Crypto Adviser
Use these criteria when evaluating a potential adviser:
- ✅ Holds an AFSL or is an authorised representative
- ✅ Listed on the ASIC Financial Advisers Register
- ✅ Offers crypto-related services on their website or through Finistry
- ✅ Has experience working with clients who hold or trade digital assets
- ✅ Has up-to-date knowledge of crypto taxation, DeFi, NFTs, and SMSF integration
Questions to Ask Before Engaging an Adviser
Ask these direct questions to clarify their expertise:
- Are you licensed to provide financial advice on cryptocurrency?
- What experience do you have advising clients on digital assets?
- Do you help clients with SMSF crypto investing or crypto tax planning?
- Are your services tailored to my financial goals and risk appetite?
- Can I view your profile on the ASIC register or Finistry.com.au?
Use Finistry to Find Licensed Crypto Advisers
Finistry.com.au is Australia’s dedicated directory for financial professionals with experience in crypto and digital assets. Use it to:
- ✅ Search for regulated crypto advisers in Australia
- ✅ Compare qualifications, areas of expertise, and services
- ✅ Filter by services like “crypto portfolio advice”, “SMSF crypto”, or “digital asset planning”
- ✅ Read verified client reviews
- ✅ Contact advisers directly to ask about your specific situation
FAQs
Do I need a licence to give crypto advice in Australia?
Yes. If you’re offering personal or general advice likely to influence someone’s investment decisions, you need to hold an AFSL or be an authorised representative.
Is crypto advice regulated by ASIC?
Yes. While the crypto asset itself may not always be classified as a financial product, the advice around it often is—especially if it involves investing, structuring, or recommendations.
What is an AFSL crypto licence?
An Australian Financial Services Licence (AFSL) is issued by ASIC and legally allows professionals to provide financial product advice, including on crypto assets, under strict compliance obligations.
Can I trust crypto advice from social media?
Generally, no. Most crypto influencers are unlicensed and operate outside the law. Their advice may be biased, incomplete, or monetised through undisclosed deals.
How do I know if my crypto adviser is legitimate?
Check:
- The ASIC Financial Advisers Register
- Their AFSL or authorised representative status
- Their listing on Finistry.com.au
- Their experience with crypto investments, tax, and structuring
Final Thoughts
With cryptocurrency’s rapid adoption comes a flood of “advice”—but not all of it is safe, legal, or informed. In a complex, evolving financial landscape, the difference between regulated and unregulated advice can mean the difference between financial growth and disaster.
Only a regulated crypto adviser in Australia—one holding or authorised under an AFSL crypto licence—can legally and ethically help you:
- Build a digital asset strategy
- Integrate crypto into your broader wealth plan
- Navigate complex tax and compliance issues
- Avoid scams and misinformation
Before trusting your financial future to anyone, make sure they’re qualified, licensed, and backed by ASIC.
🔍 Looking for a licensed crypto adviser you can trust? Explore verified professionals on Finistry.com.au—Australia’s go-to directory for financial advisers who understand digital assets.
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