Hamilton Locke is delighted to have made a submission to the Treasury Consultation Paper on Token Mapping, which is the first step in the process to regulating the crypto industry in Australia.
The regulation of the crypto industry is an important step for both the local and global crypto industry. As we have seen with other industries, most notably new energy and payments, uncertainty stifles innovation and a clear pathway to regulation provides the strongest foundation for true innovation, growth, consumer protection and a competitive market.
This consultation paper presents a significant opportunity to discuss what appropriate legislative frameworks are required to:
- provide regulatory certainty to support the continued growth of the industry;
- protect consumers;
- promote competitive offerings;
- facilitate technology development and innovation; and
- help solidify Australia as a competitive market that can grow and attract talent.
Our submission generally supports Treasury’s position that the regulatory regime should be included as part of the existing financial services regime, where there is a financial purpose / function for the crypto asset or service. We have noted throughout our submission where we believe it is appropriate for there to be no additional regulation. We consider that some of the existing definitions of financial services / products need to be amended. We also believe that some new categories of financial services or products may need to be developed as outlined in the submission.
You can read our submission here.
Hamilton Locke’s Funds and Financial Services team are technical specialists that have a broad and deep understanding of blockchain technology, cryptocurrencies and digital assets, exchange, Decentralised Autonomous Organisations (DAO), alternate platforms and cryptocurrency products and service offerings. Our knowledge of cryptocurrencies and digital assets, combined with our traditional financial services expertise, is market leading. We use our industry knowledge and expertise to deliver practical, compliant and innovative solutions for our clients. We have worked with cryptocurrency and digital asset exchanges, miners, cryptocurrency and digital asset payment businesses, cryptocurrency and digital asset platforms, DAOs and token issuers to design innovative and compliant offerings.
For more information, please contact Jaime Lumsden, Michele Levine or Charmian Holmes.
