Huge Win for Crypto! Australian Fintech Finder Defeats Court Challenge Over Yield Product
- Mathew Jacob
- Jul 24, 2025
- 2 min read
In a major legal victory for the Australian crypto sector, fintech firm Finder Wallet has successfully fended off a lawsuit brought by the Australian Securities and Investments Commission (ASIC) over its crypto yield product, Finder Earn. This marks a pivotal moment in the ongoing battle between regulators and innovative digital finance products.
What Happened?
In a long-anticipated judgment, Australia’s Federal Court ruled in favor of Finder, stating that its Finder Earn product did not operate as an unlicensed financial service. ASIC had alleged that Finder’s product was essentially a debenture — a financial instrument requiring a license under Australian law — and therefore illegal under current regulations.
However, Justice Brigitte Markovic disagreed, finding that Finder’s product model did not constitute a debenture. The ruling highlighted that users had no right to demand repayment and that Finder had discretion in whether to repay or not, which falls outside the legal definition ASIC was relying on.
Why This Is Important
This win isn't just a legal victory for Finder — it’s a watershed moment for crypto innovation in Australia.
Clarifies regulation around crypto yield products in the country.
Sets a precedent for how similar products might be treated under law.
Signals a possible shift in judicial sentiment toward more nuanced crypto rulings.
With this ruling, Australia positions itself as a more crypto-friendly jurisdiction, potentially drawing more innovators and platforms into its fintech ecosystem.
About Finder Earn
Launched in 2021, Finder Earn allowed users to deposit Australian dollars in exchange for stablecoins (like TrueAUD), earning up to 4% annual return. The product was designed as an alternative savings tool for users looking to tap into blockchain-powered finance.
ASIC alleged that this constituted an investment product, but Finder maintained it was a loyalty-based, flexible arrangement without fixed obligations — a position now validated by the court.
Ripple Effects on the Crypto Industry
This victory could inspire other crypto companies globally to stand firm against blanket regulatory crackdowns. It also underscores the importance of clear legal definitions and judicial oversight in shaping the future of Web3 finance.
Regulatory clarity like this is crucial, especially as DeFi, tokenized assets, and yield-generating products continue to evolve. The ruling could embolden both startups and institutional players who have been sitting on the sidelines amid legal uncertainty.
Expert Take
Legal analysts and fintech leaders are calling this a “win for common sense.”
“This decision confirms that not all crypto products fall neatly into legacy financial categories,” said one industry expert. “It’s a call for regulatory frameworks to catch up to innovation — not the other way around.”
