Australia bolsters crypto watchdogs in ''multi-stage' plan to fight scams

The Australian authorities is bolstering its marketplace regulator's integer plus squad arsenic portion of a “multi-stage approach” aimed astatine clamping down connected crypto and ensuring due hazard disclosures from crypto firms.

A Feb. 2 associated statement by Australian Treasurer Jim Chalmers and Assistant Treasurer Stephen Jones explained that the caller measures are aimed astatine protecting consumers dealing with cryptocurrency.

The treasurers said the multi-stage attack would impact 3 elements, including strengthening enforcement, bolstering user protection, and establishing a model for its token mapping reform.

This is wherefore we're taking enactment connected crypto. pic.twitter.com/17HG5nhsTz

— Stephen Jones MP (@StephenJonesMP) February 2, 2023

One of the main changes volition beryllium an summation successful the size of the Australian Securities & Investments Commission (ASIC)’s integer assets squad and “upping enforcement measures.”

Chalmers and Jones said ASIC would absorption connected ensuring risks to consumers by crypto products and work providers are appropriately disclosed.

Cointelegraph reached retired to ASIC to find retired however galore further positions volition beryllium filled but did not person an contiguous response.

Meanwhile, the authorities is acceptable to springiness caller tools to the Australian Competition and Consumer Commission (ACCC), the country’s contention watchdog, to support consumers from crypto-related scams. It noted scam losses done crypto payments totaled $221 cardinal successful 2022.

The caller instrumentality volition travel successful the signifier of a real-time data-sharing instrumentality that the ACCC volition usage to place and forestall crypto scams.

Consumer extortion volition besides beryllium bolstered erstwhile a model is finalized to modulate the licensing and custody of integer assets to “ensure consumers are protected from avoidable concern failures oregon from the misuse of their assets by work providers.”

This model volition not nevertheless statesman until mid-2023, and volition apt instrumentality sizeable clip earlier it is implemented into legislation.

Related: An overview of the cryptocurrency regulations successful Australia

“The erstwhile authorities dabbled successful crypto argumentation but ne'er took the clip to future‑proof our regulatory frameworks to support consumers and usher this caller and emerging people of assets," said the treasurers, adding:

We are acting swiftly and methodically to guarantee that consumers are adequately protected and existent innovation tin flourish.”

The Australian Treasury released its token mapping consultation insubstantial connected Feb. 2, which attempts to find which elements of the cryptocurrency ecosystem volition beryllium regulated and to what extent.

Consultation open! Today we released the token mapping consultation paper. This consultation is portion of a multi measurement betterment docket to make an due regulatory mounting for the #crypto sector. Read insubstantial & taxable views @ https://t.co/4W2msjhP9B @ASIC_Connect @AUSTRAC pic.twitter.com/OGHuZEGvDp

— Australian Treasury (@Treasury_AU) February 2, 2023

The multi-stage attack program was fast-tracked by the catastrophic illness of FTX successful November which impacted implicit 30,000 Aussies and 132 Australian-based companies.