The cryptocurrency industry has become one of the most revolutionary sectors of the financial world. Even though cryptocurrencies like Bitcoin and Ethereum were created to act as an alternative to fiat currencies, they have become quite popular with multiple use cases. They have become massive with both retail and institutional investors.
The success of digital currencies has also led to the growth of other blockchain and decentralised platforms like decentralised applications (dApps) and non-fungible tokens (NFTs).
A study by Finder in October established that Australia has the third-highest rate of crypto ownership in the world. However, the country is open to doing even better. This is evident following a Senate Select Committee recommending to make Australia a crypto hub.
Australia embracing the crypto industry trends
The current trend in the crypto world is the emergence of NFTs. The tokenised assets have become very popular with celebrities and major companies launching their collectible lines. However, it seems Australia is yet to fully embrace the new trend.
A recent survey has established that only 18% of Australians know of NFTs. 75% of the respondents claimed they didn’t know about them while 6% were unsure. These figures indicate that Australians are yet to embrace the NFT craze. However, with crypto access becoming easier than ever, there is an indication that it won’t take long before Australians jump on them as another investment option.
Crypto as part of the Australian financial system
While Australia was one of the earliest countries in the world to embrace digital countries, its crypto development has never been as high. This is mostly down to the country’s laws on new technology. A recent study established that 42% of Australians are willing to use cryptocurrency as legal tender. The study confirmed Australians would use cryptocurrencies for savings/pension, everyday spending, large purchases and property.
So far, Australian crypto-related companies have shown they are ready to deliver whenever regulations allow. This was evident when the Australian crypto exchange, Independent Reserve became one of the first to acquire a trading license in Singapore. At the same time, CoinJar UK, part of Australian crypto exchange, CoinJar, was registered by the Uk Financial Conduct Authority (FCA) in 2021.
Traditional banks like the Commonwealth Bank (CBA) are also looking to offer Australians the opportunity to buy, sell or trade cryptocurrencies through the Bank’s app. The Australian Securities and Exchange Commission (ASIC) also recently approved crypto-related Exchange Traded Funds (ETFs) with massive success from institutional investors.
Australian investors and companies are ready to embrace digital currencies and other blockchain products like NFTs. However, there is a need to streamline regulations for easy access and use. Only then will the country begin looking like a crypto hub.