Simple Agreement for Future Tokens (SAFT) in Australia 2025: What Investors Need to Know

The world of cryptocurrency is constantly evolving, and in 2025, Simple Agreements for Future Tokens (SAFTs) are emerging as a buzzworthy tool for both investors and blockchain startups in Australia. As regulatory frameworks sharpen and the appetite for digital assets grows, understanding SAFTs has never been more important for anyone looking to navigate the next wave of crypto fundraising.

What is a SAFT and Why Does It Matter in 2025?

A Simple Agreement for Future Tokens, or SAFT, is a legal contract that allows investors to fund blockchain projects in exchange for the right to receive tokens at a later date. Unlike traditional initial coin offerings (ICOs), which deliver tokens immediately, a SAFT delays delivery until the network is live and the token is functional. This approach aims to sidestep some regulatory minefields by keeping the initial investment out of the realm of an unregistered securities offering.

• How it works: Investors provide capital upfront, usually in fiat or cryptocurrency. In return, they receive a binding agreement for future tokens when (and if) the network launches.
• Why it’s popular: SAFTs provide early-stage funding without immediately creating a tradeable digital asset, which can help projects comply with evolving financial regulations.

In 2025, SAFTs have become especially relevant as both Australian and global regulators tighten rules around crypto asset issuance and investor protection.

2025 Regulatory Shifts: The New Australian Crypto Landscape

Regulation has always been the wild card for crypto fundraising. In 2025, Australia has rolled out its long-awaited Digital Assets (Market Regulation) Act, which brings more clarity to crypto fundraising—especially for token-based projects. The Australian Securities & Investments Commission (ASIC) now requires clearer disclosures, risk statements, and investor protections for any crypto-asset offering to the public.

• SAFTs and securities law: While SAFTs were originally designed to avoid being classed as securities, the new 2025 rules mean that most token pre-sales—SAFTs included—are now likely to be treated as a financial product if Australian investors are involved.
• Investor eligibility: Under the 2025 regime, only wholesale (sophisticated) investors can participate in most SAFT offerings, unless the issuer completes extensive compliance checks and provides a regulated product disclosure statement.
• Global context: The US SEC and the EU’s MiCA rules have influenced Australian policy, so cross-border SAFT deals will face increased scrutiny and reporting requirements.

For local investors and founders, this means more paperwork—but also more protection from scams and dud projects.

Risks, Rewards, and Real-World Examples

Like every emerging asset class, SAFTs come with their own cocktail of risks and opportunities. For investors, the main appeal is getting early exposure to a project’s tokens—often at a lower price than public buyers will ever see. For founders, SAFTs offer a way to raise funds without immediately launching a token, giving them time to build out the technology and community.

• Risks: Projects can fail before tokens are ever issued, leaving investors with nothing but a contract. Regulatory uncertainty remains, especially for cross-border deals. And secondary markets for SAFT agreements are virtually non-existent.
• Rewards: Successful projects (like those in DeFi or gaming) can deliver significant returns when tokens finally hit exchanges. In 2024, several Australian blockchain startups—such as CarbonX and ReefChain—successfully raised millions via SAFTs, with tokens launching in early 2025 at multiples of the pre-sale price.
• Due diligence: With new ASIC guidelines in force, investors should scrutinise whitepapers, legal opinions, and the credentials of both the project team and the SAFT issuer. Look for transparency on token allocation, vesting schedules, and network launch timelines.

One recent example is GreenGrid, an Australian energy blockchain startup, which closed a $12 million SAFT round in late 2024. Investors are set to receive tokens in Q2 2025, but only after the platform passes ASIC’s new compliance checks—a process that adds credibility, but also time, to the token launch.

How to Approach SAFTs as an Australian Investor in 2025

For those considering SAFTs, the landscape is more regulated, but also more mature than ever before. Here’s how savvy investors are approaching these deals in 2025:

• Check for ASIC compliance and clear disclosure documents.
• Be realistic about liquidity—SAFTs are not tradable and may take years to convert into actual tokens.
• Prioritise projects with strong teams, working products, and transparent roadmaps.
• Consider risk management strategies: only allocate capital you’re willing to lock up for the long term.

With more institutional money entering the space, expect SAFT terms to become more investor-friendly, but also more competitive.

Conclusion

SAFTs are not a magic ticket to easy crypto riches, but in 2025, they’re a sign that the market is growing up. For both founders and investors, the key is to balance regulatory compliance, risk, and reward. With Australia’s new crypto rules in play, the future for SAFTs looks promising—but only for those willing to do the work and stay ahead of the curve.