• Australian authorities are looking to release clear legislation for cryptocurrencies.
• The government aims to roll out consultation papers in the second quarter of 2023 and hold roundtable meetings in the third quarter of 2023.
• Decisions regarding Australian crypto legislations could take time, extending beyond 2024.
Australian Crypto Legislation Could Extend Beyond 2024
Some folks find cryptocurrencies complex and high-risk assets, making them hard to comprehend despite their potential. This has posed challenges for several governments while seeking regulatory clarity for crypto, including Australia’s.
Timeline for Crypto Legislation in Australia
The Australian Treasury Department recently revealed a timeline for crypto legislation in the country. The internal document noted that releasing Australia’s crypto legislation could extend beyond 2024, as the government wants to study the industry extensively before making decisions.
Token Mapping Exercise Announced
The digital asset industry has been anticipating the Australian government’s next step in the token mapping exercise announced in August 2022. The Australian Treasury Department announced on February 2 that it released the token mapping consultation paper and is open to consultations regarding licensing and custody of digital assets.
Consultation Process Extended
The consultation process ended on March 3, but final submissions to cabinet will not happen until later this year which could drag decisions on digital legislation into 2024 or beyond. A briefing from the Department of Treasury acknowledged that they expect complaints from digital businesses and consumer groups over this long timeline.
Treasurer Comments on Timeline
The Treasurer, Jim Chalmers said they expect such complaints due to this extended timeline but added that it was necessary “to ensure we get these important reforms right” when introducing new regulations into existing markets like cryptocurrencies