Australia's plans to embrace cryptocurrencies through progressive laws

When cryptocurrencies were designed, the idea of the government or its financial institutions meddling into the affairs of the digital currency were not envisioned. Indeed, cryptocurrencies like Bitcoin were designed to give users the freedom to transact without central regulation. It was probably not anticipated that these currencies would gain so much interest around the world. But since that has happened, the regulatory authorities have found it hard to stay away from the cryptos.

Recent news has indicated that governments around the world are keen on easing the tension between the traditional perception institutions have had on cryptocurrencies. Some of the issues that are at the fore currently are how regulation can be adopted as a way to foster the adoption and growth of cryptocurrencies by the mainstream market.

Australia’s take on regulation

There have been numerous approaches proposed on how governments should engage with digital currencies. Australia is one particular country that is seemingly leading the embrace to digital currencies through some progressive measures. AUSTRAC, the official Australian government financial intelligence agency is leading the way by creating the basic legal requirements for cryptocurrency trading in the country.

AUSTRAC has started by giving out licenses to cryptocurrency exchanges. Blockbid is one of the first exchanges that have been given the green light to do business in Australia and many other firms are also expected to be licensed in the course of time. It is clearly visible that the Australian government is doing a balancing job by regulating the cryptocurrency industry while still legitimizing it to the wider public.

The official status of cryptocurrencies in Australia

It should be remembered that Australia is the second country after Japan that fully accepted Bitcoin as legal tender in 2017. This move paved the way for the removal of prohibiting laws like double taxation. Currently, the focus of the government is on reviewing the laws that generally cover ICO’s, taxation and what investors can do in the market. There is no doubt that the full acceptance of cryptocurrencies is imminent.

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