AEC endorsement means the party could receive government funds to help in election campaigns.
"One of the reasons for establishing the party was to provide a positive platform for sexual issues amongst the negative notions of sex that most politicians and political parties have," party leader Fiona Patten said.
Patten, who founded the Eros Foundation sex industry lobby group in 1992, said she was well qualified to lead the Sex Party.
"I certainly did get some experience working as a sex worker in the industry," she said at the launch earlier this year. "I mean, I've always been interested in sex, I think, all my life. And I thank my parents for that."