Australia will need regulatory oversight of the domestic digital assets market amid a renewed surge in demand for Bitcoin and other cryptocurrencies and follow the examples of the US, Europe, Singapore, and Hong Kong which have successfully regulated their digital financial products.
Digital assets exchange, BTC Markets, believed there were significant gaps in Australian regulation in this regard and although the technology and ideology underlining Bitcoin and other cryptocurrencies was difficult for traditional markets to accept, large financial institutions were developing a mature understanding of its fundamentals.
BTC Markets’ chief executive, Caroline Bowler, said digital finance was growing rapidly and that our country needed to keep apace of the change, with legislation tailored to technological advances, and, as a nation, Australia was setting international standards for blockchain use.
“But we need to use this clear advantage to get on the front foot to prepare our economy for what is to come,” she said.
“Australia needs to prepare for the future of finance. We believe prioritising digital financial legislation will have a significant longer-term impact across our entire economy.”
According to Bowler, other jurisdictions were successfully pulling ahead in regulating their cryptocurrency markets, which helped to drive local company founders to list their companies overseas.
Digital trade in Australia is estimated to be worth $192 billion in the domestic economy by 2030, while digital goods and services were fourth largest export sector, according to the Department of Foreign Affairs and Trade.