- Australia’s senate committee has rejected Senator Andrew Bragg’s crypto regulation bill.
- Bragg’s bill sought clarity and offered guidelines to Australia’s crypto sector.
Australia’s cryptocurrency industry may have to wait longer for the much-anticipated market regulations and guidance. This comes as the Senate Economics Legislation Committee rejected the cryptocurrency bill by opposition Senator Andrew Bragg.
Bragg’s March bill, The Digital Assets (Market Regulation) Bill 2023, offered recommendations for regulating stablecoins, exchange licensing, and crypto custody requirements. The proposed regulations sought to protect Australian consumers and promote crypto investments.
The committee shared its deliberations on September 4, rejecting Bragg’s proposals. The lawmakers recommended the government “continue to consult with industry on the development of fit-for-purpose digital assets regulation in Australia.”
In the report, the senators said Bragg’s bill missed detail and certainty while contradicting the government’s approach. The senators also faulted Bragg’s draft for lacking consistency with international regimes, bringing regulatory arbitrage, and being harmful to the industry.
Australia’s Caution on Crypto Regulation
The rejection happens when Australia battles the idea of regulating its cryptocurrency market amid concerns that it may stifle sector investments. Bragg called the government for the delay, saying, “Australians will pay the price.”
Bragg criticized the senate committee’s decision, saying that the Australian government had put crypto regulation in the slow lane. He says the bill initiates a serious step for a comprehensive crypto regulatory framework amid slow steps in the sector.
In February, PM Anthony Albanese introduced token mapping, a consultative framework for foundational actions in crypto regulations. However, the crypto ecosystem maintains a legal ambiguity as the country has yet to offer a sound regulatory direction.
