The Australian Securities and Investments Commission (ASIC) said on Tuesday that a federal court had imposed A$14 million ($9.6 million) on Gold Coast-based BPS Financial for operating and promoting its crypto product “Qoin Wallet”.
BPS Financial, owner and operator of Block Trade Exchange, has touted a crypto token called “Qoin” and promoted a “non-cash payment” wallet tied to it.
The corporate regulator launched its first legal action against the company in 2022, alleging unlicensed conduct and misleading promotion of crypto assets.
BPS Financial has claimed its self-issued cryptocurrency Qoin could be exchanged for Australian dollars via other exchanges. He also noted that the Qoin wallet and company were regulated. However, BPS Financial is not licensed in Australia.
The Federal Court ruled in 2024 that the company had been involved in unlicensed conduct for almost three years for issuing the Qoin crypto and promoting its wallet.
BPS Financial will have to pay penalties for unauthorized conduct and misleading statements
According to Tuesday’s statement, the company also made several false and misleading statements about the Qoin wallet.
“Given the nature of these products, suppliers must have appropriate licenses and authorizations,” ASIC Chairman Joe Longo said.
The court ordered BPS Financial to pay its A$14 million, divided in two, according to the charges. This includes a fine of A$12 million for misleading statements and A$2 million for unauthorized conduct.
“The magnitude of these sanctions highlights the seriousness of BPS Financial’s misconduct and is intended to send a strong message of deterrence to the digital assets industry,” Longo added.
Australia places crypto regulation gaps in its 2026 risk outlook plan
ASIC released a major risk report for 2026 on Tuesday, highlighting that crypto assets continue to create risks, including with “unlicensed advice, misleading conduct and exploitation of unclear regulatory limits”.
The regulator noted that the government should consider whether a new asset class should be subject to a licensing regime.
“Ensuring clarity on licensing requirements and maintaining effective perimeter oversight will remain priorities for ASIC in 2026,” it adds.
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