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Australian regulator provides guidance for crypto-asset products

Australian regulator provides guidance for crypto-asset products
Australian regulator provides guidance for crypto-asset products   -   Copyright  Thomson Reuters 2021   -  
By Reuters

<div> <p> – Australia’s corporate watchdog said on Friday that holders of underlying crypto-asset investment products would need a licence, as part of a new set of guidances it hopes would improve transparency and protect investors. </p> <p>Many of Australia’s top financial institutions have not engaged with the high-risk cryptocurrency sector despite its huge growth in the past year.</p> <p>A senate report called on https://www.reuters.com/technology/australia-should-change-laws-accommodate-crypto-senate-report-says-2021-10-21 Australia to introduce new laws such as tax discounts and a licensing regime for digital asset miners to be more competitive with other countries in the fast-growing space. </p> <p>Australia’s Securities and Investments Commision (<span class="caps">ASIC</span>) has introduced a new “crypto-asset” section in its licensing applications that holders of underlying assets that comprise crypto-asset will need.</p> <p>“Crypto-assets have unique characteristics and risks that must be considered by product issuers and market operators in meeting their existing regulatory obligations,” <span class="caps">ASIC</span> Commissioner Cathie Armour said.</p> <p>Estimates of the size of the digital asset industry in Australia vary. One researcher finder.com.au says a sixth of Australians owned cryptocurrency in 2021 worth A$8 billion ($6.02 billion), with bitcoin the most popular.</p> <p>The <span class="caps">ASIC</span> also provided guidance on best practices for monitoring, holding and prices crypto-assets as well as disclosure and risk management. </p> <p>($1 = 1.3284 Australian dollars)</p> <p/> </div>