Australian crypto firms keen to embrace regulations, says Senator Bragg
Australian Senator Andrew Bragg from New South Wales, has recently asserted that the robust regulations on the crypto sector would “bring credibility and validity” to Australia’s emerging digital asset sector.
During an interview with the local publication, Finder, Bragg, also Chairperson of the Senate Committee on Technology and Financial Centre, had commented that the cAustrali’s crypto sector has shown prompt willingness in embracing higher regulatory oversight to attain mainstream legitimacy.
Senator Bragg also remarked that it was a “surprise” for him to see for the first time “an industry so keen for regulation,” stressing that almost everyone he had a chance speaking to within the crypto sector, understood how much “credibility and validity” would be brought in once regulations are imposed.
Bragg further said that according to his expectations, the new crypto regulations would be introduced in Australia in the upcoming 12 months.
Bragg’s comments have made it to headlines after his Senate committee had published its ‘Crypto Report’ in October.
The report has made a total of 12 recommendations that are originally intended to tackle key issues which are pertinent to the cryptocurrency industry, including new licenses for all cryptocurrency exchanges, a tax discount for crypto miners who use renewable energy, an overhaul of capital gains tax in DeFi and fresh laws for governing decentralized autonomous organizations (DAO).
The document has also acknowledged that the present lack of legislative clarity regarding digital wallets is resulting in “uncertainty for project developers, businesses, investors and consumers.”
Bragg has reiterated the recommendations would allow Australia to compete with leading global jurisdictions for the blockchain and crypto industries, among others like the United States. Singapore and the United Kingdom.
Further, surveys have shown that around 25 per cent of Australians either currently or have previously held crypto assets, thus making Australia one of the largest adopters of crypto on a per capita basis.
Australian Taxation Office (ATO) has estimated that there are over 600,000 taxpayers that are recorded to have invested in digital assets in the last few years.
A Brisbane-based crypto broker, Swyftx, has more than 100 staff employed across the country. The firm has also recently called for the national government to facilitate the ever-growing demand for providing accessibility to the digital asset industry.
Swyftx has told the Committee that bringing digital assets within a “tailored and sensible” regulatory perimeter is a greatly better solution than forcing its consumers to operate outside of it among unregulated and foreign providers.
Blockchain Australia has also commented on the rising need for the Australian government to enact appropriate legislative reforms for keeping pace with other jurisdictions.
The industry association has commented that Australia is “lagging behind international jurisdictions” in the race to develop a “fit-for-purpose crypto-asset framework.”