A clear principles-based regulatory approach to the digital assets sector could be a huge benefit to the Australian economy according to the report.
Up to $40 billion a year (AU$60 billion), can be additional to Australia's national GDP with the proper regulative framework and will lead to enormous cost savings for consumers and businesses per a brand new report.
The Nov. 29 Digital assets in Australia report was commissioned by the tech Council of Australia (TCA), one amongst the country's technology industry support groups, and written by technology consulting company Accenture, that outlined a number of potential edges the growth of the digital assets sector in Australia could deliver, stating:
“Digital assets (DA) have the potential to transform our lives offering significant time and cost savings to individuals and businesses”
The report estimates digital assets — like cryptocurrencies, stablecoins, tokens, and central bank Digital Currencies (CBDCs) — might deliver an “80% reduction in retail payments prices by 2030,” save Australian businesses 200 million hours per annum by automating tax compliance and administration, and an additional 400,000 hours in preparing documents for business loans.
It additionally points to potential savings for consumers of almost $2.7 billion each year (AU$4 billion), or $107 (AU$160) per person, if they use digital assets for international transactions while suggesting that an instant settlement of business transactions may well be hugely beneficial for the 4,000 businesses that fail annually due to cash flow issues.
Decentralized Autonomous Organizations (DAOs) ar referred to within the report as a way to build public trust by creating decisions, transactions, and procedures “automated and transparent,” with all members of the organization granted equal rights through the issuance of utility tokens.
It also mentions that to completely unlock the potential of DAOs, the govt has to clarify the status of DAOs as well as the liability implications for its members once participants of the Ooki DAO were charged by american regulators.
The report estimates “up to 100 pc of payments” may well be facilitated by digital assets if a retail CBDC is introduced, inform to the fast uptake of retail CBDCs in different countries like the e-krona in sweden.
On Sept. 26, the reserve bank of Australia (RBA) — Australia’s central bank — released a whitepaper particularisation the minting associated supply of an Australian CBDC, referred to as the eAUD, which might be issued as a liability to the RBA. The pilot project is ready to commence in 2023.
Related: Bitcoin is the king of crypto brand awareness for Aussies: Report
The report aims to help the govt regulate the arena in a method that enables innovation whereas protective consumers, and follows a promise from a spokesperson of Australian treasurer Jim Chalmers — prompted by the downfall of FTX — that rules would be coming in 2023 that aim to guard investors whereas still promoting innovation.
According to a nov. 14 report from the Australian financial Review (AFR), 30,000 Australian investors and 132 firms have funds locked up with FTX.
(LUKE HUIGSLOOT, Cointelegreaph, 2022)