The industry organization Blockchain Australia has accused the Australian government of inaction and reluctance to develop regulations to regulate blockchain in the country.
Blockchain Australia CEO Steve Vallas chided the local government for considering the cryptocurrency industry a “hotbed of scammers and attackers” rather than interacting with target groups to develop effective regulation. Wallas said this in a speech to the Australian Senate Special Committee.
In July, Blockchain Australia approached the Australian Senate Technology and Financial Development Committee with ideas for blockchain and cryptocurrency regulation. This initiative probably went unanswered. Blockchain Australia has reiterated its willingness to actively engage with the government as it continues to analyze the possibilities of blockchain and financial technology.
“The country lags far behind in regulating cryptocurrencies due to over-reliance on disparaging accounts of the industry as the Wild West. We strongly disagree with these stereotypes, ”Wallas said.
He added that since the ICO “boom” in late 2017 and early 2018, the Australian government is still taking a wait-and-see attitude and is too passive, if not inactive. According to Wallas, the modern cryptocurrency space has nothing to do with that period. However, due to the slowness of regulators, people continue to believe that the cryptocurrency industry is “teeming with scammers.”
Michael Bacina, partner at Australian law firm Piper Alderman, agreed with Wallas’s arguments. Due to regulatory uncertainty regarding cryptocurrencies in Australia, the United States and other jurisdictions, industry participants often have to “guess on the coffee grounds” why lawsuits are being filed against them.
Genesis Block Managing Director Chloe White stated that the Australian government only pays attention to the cryptocurrency industry intermittently, during the hype on DeFi, NFT, crypto ETFs or other products. White believes that politicians should engage with the industry, even during periods of calm, to understand the fundamentals of emerging technologies and make recommendations for their oversight.
This year, Australian Senator Andrew Bragg argued that Australia should impose stricter rules on crypto assets if the country is to truly encourage technical and financial innovation. Earlier, Australian Prime Minister Scott Morrison said that the government is ready to allocate about $ 800 million for the implementation of blockchain in various industries in the country.
