How SMSFs are opening Australia’s pension market to crypto
Australia’s 4.3-trillion-Australian-dollar pension system, which is approximately $2.8 trillion, has presented a significant growth opportunity to crypto platforms across the world.
Self-managed super funds (SMSFs), which let Australians manage their own retirement savings, have become a key entry point for crypto. Platforms like Coinbase and OKX see them as a way to position digital assets within long-term wealth strategies. As of 2025, SMSFs hold about 1.7 billion AUD in crypto, a sevenfold jump since 2021.
The efforts of global crypto exchanges like Coinbase and OKX to engage SMSFs in Australia have come at a time when Australians are seeking new investment options beyond traditional stocks and mutual funds. Global crypto-friendly policy changes, such as the Trump administration’s decision to permit cryptocurrencies in 401(k) plans, have also encouraged Australian investors with pension funds to invest in crypto.
What are SMSFs in Australia?
SMSFs in Australia are a private superannuation structure where members take full control of their retirement savings. Unlike traditional super funds, SMSFs allow up to six members, usually family members, who act as trustees.
SMSFs are responsible for managing all investments and compliance directly with the Australian Taxation Office (ATO). One to six individuals can come together to form an SMSF.
SMSFs are largely unique to Australia. The closest equivalents of SMSFs in the US are employer-sponsored 401(k) plans and individual retirement accounts (IRAs).
Key characteristics of SMSFs
- Control: Members directly choose and manage investments.
- Flexibility: Ability to invest in diverse assets, including real estate.
- Responsibility: Trustees are legally accountable for audits, tax compliance and financial reporting.
- Cost: Typically cost-effective only for balances around 200,000 AUD.
SMSFs only become cost-effective to operate when the fund balance is above a certain range because of annual compliance, audit and administrative costs that the SMSFs have to bear, regardless of fund size.
Why people choose SMSFs
- Greater control over retirement funds
- Ability to purchase expensive property through super funds
- Personalized investment strategies.
Key responsibilities of trustees
- Set up and follow an investment strategy
- Maintain accurate records and member balances
- Arrange annual audits and tax returns
- Ensure compliance with super and tax laws.
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Why Coinbase and OKX are targeting SMSFs in Australia
Coinbase and OKX are focusing on Australia’s SMSFs because of their substantial economic volume. As of September 2025, there were 653,062 SMSFs in Australia, with a total of over 1.1 million members.
Deloitte expects Australia’s superannuation system (not SMSFs specifically) to grow from $4.3 trillion AUD to approximately $17 trillion AUD by 2043 (figures adjusted to AUD). Unlike conventional pension funds, SMSFs provide investors with the flexibility to diversify their asset allocations, making them well-suited for cryptocurrency investment.
Coinbase and OKX are strategically targeting SMSFs to meet growing demand.
Coinbase is developing a specialized SMSF service, which has already garnered significant interest, with over 500 investors on the waiting list, 80% of whom are expected to create new SMSFs. These investors plan to allocate an average of $67,000 to cryptocurrency, indicating a growing mainstream interest in digital assets for retirement portfolios.
Meanwhile, OKX took the lead by launching its SMSF product in June 2025, and the demand has exceeded expectations. OKX’s advantage lies in its simplified approach, providing not only crypto access but also connecting clients with accountants and legal advisers to facilitate SMSF setup and compliance.
These efforts highlight how global exchanges are tailoring their strategies to Australia’s distinctive retirement savings market, where the scale and regulatory environment position SMSFs as a key entry point for cryptocurrency adoption.
Multiple catalysts behind the move of Coinbase and OKX
The efforts of Coinbase and OKX to enter Australia’s SMSFs are fueled by local demand and global policy changes. SMSFs, which typically invest heavily in infrastructure assets such as toll roads and ports, are now encountering liquidity challenges and market volatility.
Digital assets provide not only diversification advantages but also the…
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