• TGN's Newsletter
  • Posts
  • Coinbase Executive Tasks Australian Regulators to Expedite Legislation to Stay Competitive -TGN

Coinbase Executive Tasks Australian Regulators to Expedite Legislation to Stay Competitive -TGN

Coinbase Chief Policy Officer Faryar Shirazad has highlighted the importance of regulatory clarity in Australia to position itself as a major web3 hub.

Shirazad made the call to lawmakers at a Senate hearing on July 25 as they debated a crypto law drafted to regulate various market segments in Australia along the lines of the Markets In Crypto Assets Regulation (MICA) in Europe.

The faster Australia acts, the faster Coinbase can establish more products and infrastructure tailored to the Australian market, according to the CTO.

“In terms of time frame, you might find it interesting that MiCA will probably go live in early 2025 at the latest. That’s at the very end. The UK is speeding up its consultation to try and get ahead of that timing. So if you look at major global markets in crypto, it does provide a date where others are trying to organize.”

As markets move toward defined regulation, industry executives have led the way in pushing for clear rules as they file lawsuits from regulators, including the Securities and Exchange Commission (SEC).

This year, the SEC renewed its tight regulatory assault on the market by filing cases against companies including Binance and Coinbase.

The Commision reported against Coinbase and Binance for offering service to what they call unregistered securities, as well as improper registration, allegations that both exchanges have denied with stated plans to “fight vigorously” against the SEC.

Digital Asset (Market Regulation) Bill comes to the rescue

The Digital Asset (Market Regulation) Bill 2023 introduced by Senator Andrew Bragg is what the country needs to define key terms and issues in the market.

In recent months there has been increased traction from crypto companies in Australia and also in Australia tighter regulatory review.

From today’s hearing, Australia is following others jurisdictions such as Europe and Hong Kong, which have rolled out specific regulations and licensing arrangements.

Like Shirazad, Jonathan Miller, the head of Kraken Australia, stated that banking in crypto is difficult to manage with market uncertainties. While expressing Kraken’s commitment to Australia, he added that “We have been here for many years. But it is difficult to make decisions if you do not have a clear picture.”

While progress on the bill has been slow, Senator Bragg stated in March that the country must get back into the race and protect users.

“The Digital Assets Bill will put Australia back in the race to regulate. Australia can be a hub for digital assets while protecting consumers of digital assets. But we must act now.”