Australians can soon expect new cryptocurrency regulatory guidelines.
The Australian Treasury, the Government ministerial department responsible for economic policies and market regulations, is reportedly taking action to impose crypto regulations.
According to the official statement shared by Parliament members Jim Chalmers and Dr. Andrew Leigh, the government is ready to take action to create a framework for crypto regulations.
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The statement highlights that the officials will begin with “token mapping” and will finish this task by the end of 2022. The Albanese government will overlook the Australian crypto market and will identify the most prominent cryptocurrencies. Afterward, the administration will propose ways to regulate these assets.
The Parliament Members note that token mapping will be aimed to identify:
... notable gaps in the regulatory framework, progress work on a licensing framework, review of innovative organizational structures, look at custody obligations for third party custodians of crypto assets and provide additional consumer safeguards.
Moreover, the government is planning to reassess already existing crypto regulations and update them according to the need. The Treasury has also noted that before implementing new regulations, it will overlook various crypto exchanges to ensure that crypto investors are protected.
When talking about this initiative, Parliament Member and Treasurer Jim Chalmers noted:
With the increasingly widespread proliferation of crypto assets — to the extent that crypto advertisements can be seen plastered all over big sporting events — we need to make sure customers engaging with crypto are adequately informed and protected.
In other news, the Australian Treasury is not the only institution delving into crypto-related research. The Reserve Bank of Australia is set to collaborate with the Digital Finance Cooperative Research Centre (DFCRC) to launch a pilot exploring the benefits of a central bank's digital currency (CBDC).