ASIC Seeks High Court Ruling on Crypto Yield Products After Block Earner Win
Australia's corporate regulator, ASIC, is seeking special leave from the High Court to appeal a ruling favoring crypto firm Block Earner regarding digital asset yield products. ASIC aims to clarify the treatment of interest-earning and asset conversion products under the Corporations Act, emphasizing the need for a broad, technology-neutral definition of financial products. The Full Federal Court previously ruled that Block Earner's fixed-yield product, "Earner," did not require a financial services license, challenging ASIC's regulatory efforts. The court dismissed ASIC's claims against Block Earner's variable-yield product, "Access," and relieved the company of penalties. Block Earner has since discontinued the Earner product and claims it allowed customers to loan crypto without pooling funds or business risk. The High Court has not yet scheduled a date for ASIC's application.
