Australia’s Liberal Senator Andrew Bragg introduced a draft for a crypto bill aimed at digital asset exchanges, stablecoins, and China’s central bank digital currency, the e-Yuan
Senator Bragg noted “Australia must keep pace with the global race for regulation on digital assets” as “it is essential that the parliament drives law reform.”
In the new proposed law, named Digital Assets (Market Regulation) Bill 2022, licenses are proposed for digital asset exchanges, digital asset custody services, stablecoin issuers, as well as transparency requirements for e-Yuan facilitators in Australia.
According to Senator Bragg, this specific law’s goals are to provide an effective regulatory framework and allow for the reporting of information by certain banks that facilitate the use or availability of digital Yuan in Australia.
It is also to provide additional duties for governing bodies with regard to this act and the regulation of activities relating to digital assets and digital Yuan.
This, according to Senator Bragg, is merely being prepared and gathering information, which is wholly reasonable and is not an accusatory stance to adopt.
The Australian government must put something on the table to handle other CBDCs that are being introduced, according to the senator, who also stated that Australia wouldn’t benefit from having a CBDC because privacy issues cannot be managed.
However, the Governor of The Reserve Bank of Australia has spoken before saying there needs to be regulation on stablecoins.
In an effort to stop local firms from migrating abroad, Senator Bragg has been advocating for a clear regulatory framework for digital assets and cryptocurrency businesses since 2021.
Senator Bragg stated that while chairing the committee for digital assets, he conducted an inquiry into these subjects and informed himself about the risks and prospects with no fixed perspective at the time.
The proposed legislation by the Senator is currently up for community feedback until October 31, 2022.
Just two weeks back, Australian Federal Police formed a Crypto Unit to hit criminals for money laundering and offshoring. As per reports, the crypto unit will be operating as a part of its Criminal Assets Confiscation Taskforce (CACT).
Meanwhile, Australia’s new Government is focusing on crypto regulations with The Treasury focusing on safeguarding the consumer crypto asset custody and reviewing DAO company-style structure.