The Australian government recently announced that crypto- stated that the regulations for service providers are at a good stage. The government also stated that it will publish the decision on which category of digital assets they will regulate at the beginning of 2023.
The Australian government underlined that it will also make changes to the ‘financial services’ law in order to increase security in the cryptocurrency industry. According to the new document published, the new payment system to be adopted at the beginning of 2023 will be the basis of the country’s ‘strategic plan’. Hazira Minister Jim Chalmers made the following comment on the subject.
“The only constant in finance is change. Our fast, dynamic and regulatory frameworks just couldn’t keep up. Our reforms will be about starting to fix that by seeking a stronger and safer financial system.”
Koinfinans.com As we have reported, the developments in 2022 have led many governments to accelerate their regulation of cryptocurrencies. The collapse of Terra in May was followed by the FTX exchange in November, negatively affecting the industry. In the light of these developments, the Australian government wants to strike a balance between innovation and regulation.
“The digital age has brought new opportunities and risks to the financial industry. Our plan is about making room for more innovation while making sure we have the right regulatory approach to keep consumers, businesses and the system safe.”
Australia Moves in Favor of the Crypto Industry
The biggest problem experienced by users in the cryptocurrency industry is undoubtedly related to brokers holding crypto. Such service providers, especially crypto custodians, crypto lending platforms, are not regulated well enough. The Australian government is also discussing retention and licensing arrangements in favor of users.
Before enforcing crypto legislation, Australia may first make regulations in this area next year. Under the plans, Australia will establish a regulatory framework for so-called “buy now, pay later” schemes.
Along with Australia, more countries are expected to announce regulatory frameworks next year.
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Disclaimer: What is written here is not investment advice. Cryptocurrency investments are high-risk investments. Every investment decision is under the individual’s own responsibility. Finally, Koinfinans and the author of this content cannot be held responsible for personal investment decisions.