Australia's ASIC chairman calls on the government to fill the regulatory gaps in cryptocurrency licensing

ChainCatcher news, according to Cointelegraph, Joseph Longo, chairman of the Australian Securities and Investments Commission (ASIC), called for the closure of a regulatory loophole during a parliamentary event, which previously allowed FTX to obtain an Australian Financial Services License (AFSL) without undergoing a thorough examination.

FTX acquired the Australian online forex and commodities trader IFS Markets in December 2021 and obtained its AFSL, allowing FTX to bypass the usual process for obtaining an AFSL. FTX Australia officially launched operations in March 2022. On November 16, ASIC suspended FTX Australia's financial services license, with the decision effective until May 15, 2023.

It is reported that ASIC can only conduct a comprehensive review when a company applies for a new AFSL, to determine whether it has adequate compliance and capital control measures. (Cointelegraph)