Digital Assets
Expert Legal Solutions for a Rapidly Evolving Digital Economy
As digital assets continue to transform traditional finance and unlock new opportunities for innovation, they also bring with them a complex and fast-changing legal environment.
At Salerno Law, we are proud to be one of Australia’s most experienced legal teams in the digital asset space. From cryptocurrencies, tokenisation of real world assets and NFTs to blockchain-based platforms and emerging technologies, we provide cutting-edge legal solutions tailored to the needs of today’s digital economy.
We help clients navigate the complex legal landscape surrounding these assets, offering services like Digital Currency & Blockchain Regulation, Fintech Licensing & Compliance, Tokenisation of real world assets, Smart Contracts & Decentralised Finance (DeFi), Intellectual Property, Initial Coin Offerings (ICOs) & Token Sales, Estate Planning and Digital Asset Management and Working with Emerging Technologies
How we can help
At Salerno Law, we deliver legal solutions that keep pace with a fast-changing world. Our experienced legal team combines deep expertise with a practical, client-first mindset to deliver timely, accurate, and commercially-focused outcomes. With a presence across Australia and internationally, we offer seamless support no matter where our clients operate. By leveraging modern technology and a commitment to clear communication, we provide efficient, cost-effective legal services that never compromise on quality or results.
Cryptocurrency
Our firm offers comprehensive legal services for clients engaged in cryptocurrency. We advise individuals, businesses, exchanges, and investors...
Tokenisation of Real World Assets
Tokenisation of real-world assets—such as property contract, debt, art, commodities, and equity—to be digitally represented and traded on the block...
Regulatory (AFSL)
Understanding and complying with the Australian Financial Services Licence (AFSL) regime is crucial for businesses dealing with digital assets, as many...
AML & CTF
The rise of digital assets has brought increased regulatory focus on AML/CTF compliance. Australia’s AML/CTF regime, administered by AUSTRAC, applies to...
Smart Contracts & Structuringy
Smart contracts are essential to blockchain ecosystems, enabling automatic execution of agreements without intermediaries. While efficient...
Startups
We provide holistic legal support for startups operating in the digital asset, blockchain, and Web3 space. From formation to funding, we guide founders through the unique legal challenges...
Our Experience
- Acted for Tri Underground Australia in a multimillion-dollar sale in a telecommunications company.
- Acted in the share sale of a software company with offices in Australia and New Zealand to a Canadian IT business.
- Assisted in the establishment of the 1300 Locate franchise system which included drafting the full suite of franchise documents and structuring of intellectual property.
- Acted for seven franchisees of Dodo Telecommunications business in a group dispute against their franchisor, by issuing a Notice of Dispute and engaging in a mediation.
- Intellectual Property in Fintech and Blockchain
- Acted in the development of domestic and overseas bitcoin mining operations.
- Assisted in the establishment of the TrigonX exchange.
Digital Services FAQ
Digital assets are broadly defined as anything that exists in a digital format and comes with a right of use, often including proof of ownership. This can encompass a wide range of assets, such as cryptocurrencies (e.g., Bitcoin, Ethereum), NFTs (Non-Fungible Tokens), tokenised real-world assets (e.g., real estate, art represented on a blockchain), and other blockchain-based records or data that hold value. Legally, their classification often depends on their specific characteristics and how they are used.
Australia's regulatory approach to cryptocurrencies and blockchain is evolving. While there isn't one single, overarching regulatory framework, various existing laws apply depending on the nature and use of the digital asset. This can include financial services laws (e.g., ASIC and AUSTRAC regulations for exchanges or financial products), consumer protection laws, and taxation laws. Digital currency exchanges, for instance, are regulated for anti-money laundering and counter-terrorism financing (AML/CTF) purposes by AUSTRAC.
Tokenisation involves representing ownership or rights to tangible (e.g., real estate, art) or intangible (e.g., intellectual property, shares) real-world assets on a blockchain as digital tokens. This can make assets more liquid, divisible, and easily transferable. Legally, it involves complex considerations around ownership rights, securities laws (as these tokens may be considered financial products), property law, and the enforceability of smart contracts underlying the tokenisation process.
NFTs are unique digital assets stored on a blockchain, often representing ownership of digital art, collectibles, or other unique items. While purchasing an NFT typically grants ownership of that specific token, it generally does not automatically transfer the underlying intellectual property (IP) rights (like copyright) to the buyer. The creator usually retains the IP, and buyers typically receive a license to display or use the NFT for personal purposes. Legal issues often arise concerning copyright infringement, trademark violations, and the scope of licenses associated with NFTs.
DeFi refers to a rapidly growing ecosystem of financial applications built on blockchain technology, operating without traditional intermediaries like banks. This includes decentralised lending, borrowing, trading, and insurance protocols, often governed by smart contracts. Legal challenges in DeFi include regulatory uncertainty (as it blurs lines with traditional finance), consumer protection issues, the enforceability of smart contracts, liability for code vulnerabilities, and jurisdictional complexities given its borderless nature.
Launching an ICO or token sale in Australia is subject to stringent legal requirements. The primary consideration is whether the token constitutes a "financial product" or "security" under the Corporations Act. If it does, strict disclosure obligations (like a prospectus), licensing requirements (e.g., Australian Financial Services (AFS) licence), and anti-money laundering (AML) laws apply. Early legal advice is crucial to determine the token's classification and ensure full regulatory compliance, avoiding potential penalties.
Smart contracts are self-executing agreements with the terms of the agreement directly written into lines of code on a blockchain. While the code executes automatically, their legal enforceability in Australia depends on whether they meet the fundamental requirements of a valid contract (offer, acceptance, consideration, intention to create legal relations, certainty). Challenges include interpretation of code vs. human intent, dispute resolution mechanisms, and jurisdiction for cross-border smart contracts. Australian law generally recognises the enforceability of contracts formed electronically.
Including digital assets in your estate plan is crucial given their unique nature. Your Will must specifically address your digital assets, identifying them and clearly stating who should inherit them. It's also vital to securely manage and communicate access information (e.g., wallet keys, passwords, seed phrases) to your executor or a trusted person, without compromising security. Specialist legal advice is needed to ensure your digital assets are discoverable, accessible, and legally transferrable upon your passing, avoiding them becoming "lost" forever.
Including digital assets in your estate plan is crucial given their unique nature. Your Will must specifically address your digital assets, identifying them and clearly stating who should inherit them. It's also vital to securely manage and communicate access information (e.g., wallet keys, passwords, seed phrases) to your executor or a trusted person, without compromising security. Specialist legal advice is needed to ensure your digital assets are discoverable, accessible, and legally transferrable upon your passing, avoiding them becoming "lost" forever.
We provide comprehensive advice on Fintech licensing and compliance. This includes determining whether your fintech business or digital asset offering requires an Australian Financial Services (AFS) licence or an Australian Credit Licence (ACL) from ASIC. We guide clients through the application process, advise on ongoing compliance obligations (e.g., responsible lending, disclosure requirements, client money rules), and assist with Anti-Money Laundering and Counter-Terrorism Financing (AML/CTF) obligations under AUSTRAC. Our goal is to ensure your innovative services meet all necessary regulatory standards.