ASIC Launches Probe Into ASX After Blockchain Debacle
Australia’s corporate watchdog isn’t messing around. After years of high-profile stumbles—including that disastrous blockchain project—the Australian Securities and Investments Commission (ASIC) has brought in a trio of heavy hitters to dig into the ASX’s inner workings.
The panel, announced Wednesday, will zero in on governance, risk management, and whether the exchange actually has what it takes to keep markets running smoothly. It’s a big deal, especially after the ASX burned through seven years and roughly $250 million trying—and failing—to replace its aging clearing system with blockchain tech.
Who’s Running the Show?
Leading the inquiry is Rob Whitfield, a banking veteran with three decades under his belt. He’s joined by Christine Holman, a director with deep roots in media and tech, and Guy Debelle, a former Reserve Bank bigwig. Between them, they’ve got the kind of experience that suggests ASIC isn’t just going through the motions here.
Whitfield, in particular, carries some weight—he was handed an Order of Australia a few years back for his work in banking. The message seems clear: if there are cracks in the ASX’s foundation, this group will find them.
The Blockchain Blunder
Let’s rewind a bit. Back in 2016, the ASX bet big on blockchain, pitching it as the future of its clearing and settlement system. Fast forward to 2022, and the whole thing collapsed after an external review ripped apart the project’s design. The exchange eventually scrapped it entirely, writing off $170 million and quietly stepping away from blockchain altogether.
But the fallout didn’t stop there. ASIC later sued the ASX over claims it misled everyone about the project’s progress. And let’s not forget that $1 million fine the exchange copped last year for unrelated market rule breaches.
Kadan Stadelmann, a tech exec at Komodo Platform, put it bluntly: the ASX’s missteps have “dented investor trust.” He’s not wrong. When your national stock exchange can’t keep the lights on or deliver on a flagship project, people notice.
What Happens Next?
The panel’s got until March 2026 to hand down its findings. After that, ASIC could push for tighter oversight—or worse, depending on what they uncover.
Neither ASIC nor the ASX had much to say when pressed for comment. Then again, with this much scrutiny, maybe silence is the safer play.
One thing’s for sure: Australia’s financial world will be watching closely. After all, you don’t bring in people like Whitfield and Debelle for a routine checkup.
