The government of Australia is planning for a comprehensive regulation on all crypto exchanges and custodians. Currently, groundwork is underway for updating the nation’s legislation regarding crypto.
It will be part of the country’s payments reform, the biggest one in over two decades. All of these changes will expand the regulatory framework. Also, it’ll incorporate new payment processes in the online space, including cryptocurrencies.
Josh Frydenberg, Federal Treasurer of Australia, said, “If we do not reform the current framework, it will be Silicon Valley that determines the future of our payment system. Australia must retain its sovereignty over our payment system.”
Next year, the government of Australia will conduct consultations regarding the establishment of a licensing framework for crypto exchanges. In addition, according to Reuters, the Reserve Bank of Australia is also looking at the feasibility of a central bank digital currency (CBDC).
In simple terms, Australia is planning to broaden its payment solutions, aiming to cover online transaction processors such as Apple and Google. Moreover, this also includes buy-now-pay-later provides like Afterpay. Overall, the goal is to eliminate unsupervised transactions in the country.
Australia’s move comes when other major economies are determining their regulatory policies regarding financial innovations, including cryptocurrencies. Moreover, Australia is looking at a more sedate and inclusive approach to crypto, unlike other countries such as China which have entirely cut down all operations related to crypto.