The Australian government plans to establish a framework for licensing and regulating crypto service providers in 2023.
Specifically, the Albanese government aims to define what digital assets should be subject to financial services laws, and what rules are appropriate to safeguard consumers.
"The next steps in the Government’s ongoing ‘token mapping’ work will include the release of a consultation paper in early 2023 to inform what digital assets should be regulated by financial services laws, and the development of appropriate custody and licensing settings to safeguard consumers," a joint media release states.
Though the Albanese government is taking action in regard to the regulation of crypto service providers in Australia, actual legislation won't come before the government consults on its planned custody and licensing framework.
Aside from crypto, the government also plans on strengthening Australia's payments systems and financial market infrastructure, as well as establishing a regulatory framework for Buy Now Pay Later, in 2023.
© 2023 The Block. All Rights Reserved. This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.