Australian Liberal Senator Andrew Bragg has released a new bill to crack down on digital asset exchanges, stablecoins and The digital currency of the Chinese central bank, the e-Yuan.
In a September 18 statement, Senator Bragg declared that “Australia must keep pace with the global race to regulate digital assets” because “it is essential that parliament drives legislative reform” on the matter.
The new bill, titled Digital Assets (Market Regulation) Bill 2022, calls for the introduction of licenses for digital asset exchanges, digital asset custodial services, stablecoin issuers, as well as requirements of Disclosure for e-Yuan Enablers in Australia.
Australia must keep pace in the race for digital assets: a bill to protect consumers, promote investment and protect our interests.
— Senator Andrew Bragg (@ajamesbragg) September 18, 2022
Speaking to Cointelegraph, Senator Bragg said Australia was “quite exposed to risk, as an economy, and that’s one of the reasons why we need to have a serious disruption management program, risk management, which emanate from the development of a CBDC”.
Senator Bragg said the purpose of this particular act is to provide “an effective regulatory framework” as well as to provide for “the disclosure of information by certain banks which facilitate the use or availability of the digital yuan in Australia” and to provide “additional rights” for governing bodies in relation to this law and the “regulation of activities relating to digital assets and the digital yuan”.
Senator Bragg said it was not “an accusatory position to take”, but simply to be “prepared and to gather information”, which he thinks is entirely “reasonable”.
The Liberal senator also added that Australia would not benefit from having a CBDC because “privacy issues cannot be managed”, but it is important that the Australian government “puts something on the table” to manage the other CBDCs being introduced, as the Governor of The Reserve Bank of Australia “spoke before saying there needs to be regulation on stablecoins.”
Consultation on the bill is open until October 31, 2022 and welcomes “community feedback”.
Andrew Bragga pro-crypto australian politicianhas been a strong advocate for cryptocurrency since being elected senator in 2019. Senator Bragg has been pushing for a clear regulatory framework for digital assets and crypto companies since 2021, in an effort to prevent startups locals to travel abroad.
Senator Bragg noted that he “chaired the committee” for digital assets with “no set view at the time” and “investigated these issues” while learning “about the risks and opportunities.”
Meanwhile, the Australian Labor government is reportedly working on “crypto asset reforms” to “improve the way Australia’s regulatory system manages crypto assets.”
Last month, the Treasury said it “prioritize token mapping job in 2022, which will help determine how crypto assets and related services should be regulated.