Australian Regulators Issue Strict Crypto Warnings
ASIC warns about cryptocurrency risks; Australia to tighten crypto laws by 2025, impacting major exchanges like Binance.
The Australian Securities and Investments Commission (ASIC) has issued cryptocurrency warnings. New legislation paying attention to the risks of cryptocurrencies will be introduced soon. The cryptocurrency was described by ASIC chair Joseph Longo as "created out of nothing". Longo emphasized the challenges of regulating crypto business as well as the increase in crypto-related scams.
Australia is preparing to implement new crypto rules by 2024, with an emphasis on crypto exchange licensing and custody. These laws, planned to be effective by 2025, will be a significant step towards regulating cryptocurrencies in the country. In addition, Australia changed its tax rules in 2023 to account for laws regarding digital assets.
Binance, a large cryptocurrency exchange, experienced regulatory issues in Australia. The ASIC canceled Binance's licenses, adding to the company's already existing problems.
Jeff Yew, the CEO of Binance Australia, resigned due to the conflicts over compliance. Binance Australia struggled with funding and stability despite having a profitable derivatives industry.
