Australian Cryptocurrency Industry Calls for Urgent Legislative Action
The Australian cryptocurrency industry urgently requests the newly re-elected government to prioritize digital asset legislation to avoid falling behind the global market. The Labor Party, after winning an overwhelming election, faces pressure to quickly implement cryptocurrency laws. Although both parties promised reforms, only the opposition pledged to provide a draft within 100 days.
Joy Lam, legal leader at Binance, emphasized the importance of timing, recommending the government act immediately before rapid international policy movements. John O'Loghlen from Coinbase calls for establishing a Crypto-Asset Task Force within the first 100 days.
Caroline Bowler, CEO of BTC Markets, stated that the election results open opportunities for progress in cryptocurrency regulation in Australia. Consumer protection laws, innovation encouragement, and preventing brain drain are top priorities. Regulations are progressing globally with actions from the EU, United States, and United Kingdom.
Treasurer Jim Chalmers said the draft will be published this year, implemented in stages to minimize negative impacts. Notable changes include using the existing AFSL framework to manage cryptocurrency and stablecoin, focusing on protecting customer assets.
The government is also considering expanding the Regulatory Sandbox for cryptocurrency startups, recognizing the benefits of tokenization. Listening to feedback from 2023 and learning from other countries is Australia's progressive strategy.
The ASIC draft provides clear guidance on Token Issuance and cryptocurrency intermediaries, while some assets like Non-Fungible Tokens and tokenized gold are not considered financial products.
Lam emphasized that clear regulations are the best way to build trust for banks and address debanking issues in the industry.
