ASIC Seeks High Court Ruling on Crypto Yield Products After Block Earner Win

The Australian Corporate Regulator seeks a special leave of a high court to complain about the verdict in favor of Crypto Firm Block Earner, enhancing the legal dispute over the status of products for digital assets.

The Australian Commission for Securities and Investments, or Asic, asks the High Court to clarify how to produce interest and asset conversion to be treated under the Corporations Act.

“The definition of a financial product is made in a wide and neutral way, and Asic believes it is in public interest to clarify this,” said UA agency statement. “This clarification is important because it is applied to all financial products and services, whether they include cryptocurrency or not.”

Special leave is required to appeal to the High Court in Australia. The court only assigns it in cases that include significant legal issues or issues of public interest. Complaints are not heard automatically, and Asic must first obtain a court permit in this case.

In April is the decision of the entire federal court upset Early discoveries against Block Earner, which Asic claims to have offered a crypto product with a fixed yield called “Earningist” without a permit for financial services.

The complete court determined that the offer did not represent the financial product under the existing law, which is the blow of Asic’s efforts to bring a crypto service under the same framework as traditional finances.

The case was carried out in court after an earlier judgment of the Federal Court in February 2024, which found that Block Earner was involved in unlicensed behavior when he offered a product that earned between March and November 2022.

However, the court rejected Asic’s claim against products with a variable Block Earner’s return, “Access”, and in June he alleviated the Society of Penalties.

The decision of ASIC also called and unlawful by Block Inclear, which culminated in a full federal court judgment in April 2025.

The Earner Block, the trade name of the Web3 Ventures Pty Ltd, has since closed the product and stated that he was not planning to restart it.

The company claims that its offer simply enabled customers to borrow cryptocurrencies under fixed conditions and receive interest, without joining funds or exposure to customers of business risk.

“From the very beginning, we have tried to ensure that our modern production apartment can fit into a less modern regulatory environment,” Charlie Karaboga, CEO and co-founder of Block Earner, said in April.

The High Court has not yet determined the date for consideration of the request asic.

Decipher approached Block Earner for comment.

Edited Sebastian Sinclair