Australia will undergo a major transformation by incorporating cryptocurrency into its payment systems

Australia’s government intends to regulate cryptocurrencies as part of a broader reform of the country’s payment system. Australia’s Minister of Digital Economy, Jane Hume, indicated that by proposing a market licensing framework for cryptocurrency exchanges, the government will “enable Australians to trade in crypto assets safely and securely.”

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Australia’s government intends to regulate cryptocurrencies to reform payment system

Australian crypto firms are issued so-called “Australian-made badges of approval,” according to Hume, the new market licensing system acts as a signal to the public that they may trust the crypto services with which they engage.

In a whitepaper released in December, Josh Frydenberg stressed anticipated regulatory reforms, stating that the Morrison administration plans to make the most substantial changes to Australia’s payment systems in the next 25 years.

“If we do not modify the existing guidelines, the fate of our payment system will be decided by Silicon Valley.” Frydenberg stated, “Australia must preserve authority over our payments infrastructure.” The federal government is also passing legislation to establish custody arrangements for crypto exchanges.

The government’s responsibility in fostering the country’s crypto industry, according to Hume, is to establish “trust” between crypto investors and exchanges.

Meanwhile, the Commonwealth Bank of Australia was the first to announce its plan to enter the crypto market, stating in November that users would be able to purchase, sell, and hold crypto assets using the Combank app on their mobile devices. will begin to do This feature is presently being tested as part of a pilot program.

CBA’s Director of Blockchain and Digital Assets, Sophie Gilder, explained that the bank’s strategic choice to roll out crypto services is motivated by its clients’ use of cryptocurrencies.

Gilder was said, “Around 700,000 of our clients are actively transferring money to cryptocurrency exchanges at the time of writing, demonstrating that they are already active in this field.” Whether we are present or not, our customers are already there.”

The bottom line of regulatory infrastructure, according to Frydenberg, is that it demands adaptation, which provides the government with a strong strategic direction.

“Australia’s status as one of the world’s leading countries will be strengthened by government-wide payments and crypto-asset reforms,” he said.

The regulatory architecture in Australia, according to Frydenberg, requires change, with the government giving stronger strategic direction. “Australia’s status as one of the world’s leading countries will be cemented by the government’s comprehensive payment and crypto-asset reforms,” he said.

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