According to the latest reports, Australia will enforce a crypto reform plan in 2022 which will put the nation among a handful of lead countries around the world, in the words of Josh Frydenberg so let’s read more in our latest cryptocurrency news.
The Australian politician and Federal Treasurer Josh Frydenberg said that Australia will enforce a crypto reform plan and a comprehensive payment plan next year. The legislation is expected to enhance the innovation and consumer uptake of digital technology and place the state as one of the leaders in the world. Frydenberg revealed Australia’s crypto intentions during the Australian-Israel Chamber of Commerce and in 2022, the local authorities will discuss potential reforms like creating a better ecosystem for crypto traders, implementing a regulatory framework on digital asset exchanges as well as launching a central bank digital currency.
The reform proposal which is said to be the biggest in the past 25 years, assured that it will enable people from Australia to buy and sell BTC and alternative coins in a regulated environment so there will also be more and new rules for companies that hold crypto assets on behalf of clients. Frydenberg said:
“For consumers, these changes will establish a regulatory framework to underpin their growing use of crypto assets and clarify the treatment of new payment methods.”
Speaking of imposing regulations on the local trading venues, Frydenberg said that this step will improve the financial system of the region and will boost customer protection. He also said that crypto exchanges should have the same regulations as banks because they hold huge sums of money and investments and there has to be accountability. The Federal Treasurer opined that completing the reforms will turn Australia into a crypto hub:
“Australia has an opportunity to be among the leading countries in the world in leveraging this new technology.”
Frydenberg revealed that the Australian government will launch the pilot for the central bank digital currency before 2022. The Reserve Bank of Australia partnered with Commonwealth Bank as well as the National Australia Bank, financial services company Perpetual and also ConsenSys to explore the potential usage of Ethereum-based wholesale CBDC. The collaboration vowed to develop a proof of concept that will be used to launch tokenized forms of CBDCs that can be used by wholesale market participants for repayment, funding, settlement and more of tokenized syndicated loans. However, the supporters of the cash industry said that the Australian Central Bank Digital Currency should not replace the physical coins:
“Some Australians will never be able to use and access digital dollars, and they will be largely excluded.”