Australia Fines Qoin Wallet Operator $14 Million for Unlicensed Activity
Australia’s Federal Court fined BPS Financial $14 million for operating Qoin Wallet without a financial services licence and misleading consumers about the token’s usability. The court found BPS falsely claimed Qoin could be widely spent at merchants and easily converted to cash or other digital assets, when merchant acceptance and liquidity were in fact limited. The penalty, attributed to unlicensed activity and deceptive conduct, targets senior management involvement and aims to deter similar misconduct in the digital asset sector. Qoin Wallet, designed for peer-to-peer transactions among small and medium Australian businesses, was promoted as an everyday transaction alternative without disclosing BPS Financial’s role in its official documents. This case highlights regulatory focus on crypto in Australia and underscores the importance of consumer protection, as millions of Australians now engage with digital assets. Regulators have warned that digital assets remain a priority risk area through 2026.
