Schebesta explained that rushing the token mapping exercise might cause crypto companies to pull back, stressing that this is the time to take it slow. Meanwhile, the Treasurer of Australia said the government wanted to control the largely unregulated cryptocurrency industry and embrace new and innovative technologies.
Fred Schebesta recently referred to the prioritization of token mapping by the Australian government as excellent. However, the businessman and cryptocurrency investor warned that it might be detrimental to the economy if they rush it.
Jim Chalmers had previously stated the Treasury would prioritize token mapping work to show how to regulate cryptocurrencies and related services.
Schebesta commented that Australia already has a promising cryptocurrency industry but needs to align with other leading markets and their regulations. He also highlighted that token mapping has unclear complexities and that things are changing.
The Australian businessman and investor co-founded the Australian comparison site Finder and the fund Hive Empire Capital.
The cryptocurrency investor explained that rushing the token mapping exercise might cause crypto companies to set back, mainly if the approach differs much from other countries. He stressed that this is not the time to hurry but to take it slow and do a deeper analysis.
The Australian Treasurer Says Token Mapping Shows How to Regulate Cryptocurrencies
The Australian Labor government announced the new token mapping three months after it came into power. That way, it broke a long silence on how it would approach cryptocurrency regulation in the territory.
Meanwhile, Chalmers, the Treasurer of Australia, said the government wanted to control the largely unregulated cryptocurrency industry. He said they had to work to find a balance to embrace new and innovative technologies.
Although many representatives in the industry applauded the announcement, some were upset because the country was still behind regarding regulations.
Liam Hennessy Thinks Australia Remains Behind regarding Cryptocurrency Regulations
Liam Hennessy, an Australian lawyer and a partner at the firm Gadens, said Australia had led cryptocurrency developments. However, he fears the country is slowly falling behind the UK and the US regarding the crypto sector and financial services.
According to Hennessy, token mapping should not be the primary focus of regulators, although it is crucial. He explained that it should be secondary to creating licensing tax rules and regulations to help companies compete globally.
The lawyer is concerned that Australia might fall into the trap of thinking a little attention from the government will solve problems. He also believes the token mapping exercise is evident to some extent.
Schebesta said he spoke at a Senate hearing in 2021, highlighting that Australia would have a considerable influx of new business. He argued it is a safe, stable and highly regulated place to build a business, adding that many jobs would emerge within the next three years.
Meanwhile, Bitcoin is trading at around USD 19.0967 and has accumulated a 0.6% loss over the last 24 hours. While its daily trading volume is above USD 34.13 billion, its market capitalization is about USD 365.29 billion, according to CoinGecko.
By Alexander Salazar