Australian regulator asks High Court to allow appeal in Block Earner case
Australia's financial regulator, ASIC, will seek High Court permission to appeal a lower court ruling that deemed Block Earner's crypto-linked fixed-yield earning service not a financial product. ASIC aims to clarify the definition of a financial product and the regulation of interest-earning products and asset conversions. The Federal Court previously ruled that Block Earner's product does not fall under the Corporations Act as a financial product, managed investment scheme, or derivative. ASIC's application for appeal requires special leave, granted for significant legal questions. Block Earner maintains confidence in the Federal Court's ruling and emphasizes the broader implications for the crypto sector. Legal proceedings against Block Earner began in November 2022, with ASIC arguing for a financial services license for the yield product offered from March to November 2022. Subsequent rulings have addressed licensing requirements and penalties related to Block Earner's operations.
