• Australia aspires to be a global leader in digital assets

  • The second public hearing on cryptocurrencies was held by the committee on promoting Australia as a technological and financial center, which is chaired by NSW Liberal Senator Andrew Bragg. Market players in attendance at the hearing claimed that Australia had a good case to become a worldwide leader in digital assets. It might, in particular, tap into the $1 trillion cryptocurrency custody market, which is rapidly expanding due to increased institutional interest in the industry.

    In addition to members of the local crypto sector, academics have recommended legally recognizing decentralized autonomous organizations (DAOs), which are completely administered by computer code. Wyoming, a state in the United States, made history in April when it passed the DAO Law, which shields individual developers and stakeholders from lawsuits. In other U.S. states and jurisdictions around the world, there is still no legal certainty surrounding the futuristic style of governance. Over 400 digital currency exchanges have been registered in the country, according to data released by the Australian Transaction Reports and Analysis Centre (AUSTRAC).

    Regulatory ambiguity

    Earlier that month, Senator Bragg lamented Australia’s lack of a defined regulatory framework for cryptocurrency, which makes it difficult for start-ups to obtain relationships with banks. According to him, local crypto entrepreneurs are fleeing to Singapore, Germany, and the United Kingdom:

    We are aware that regulatory uncertainty is driving cryptocurrency entrepreneurs to seek refuge in other jurisdictions. Not only Singapore, but also Germany and the United Kingdom.

    According to a recent Finder survey, 25% of Australians possess or plan to own cryptocurrency. However, their industry expertise clearly needs to be improved, as the same survey found that 56 percent of Australians believe Elon Musk invented Bitcoin.

    What's your reaction?