According to the CEO of the Australian division of the Binance cryptocurrency exchange, Lee Travers, tightening regulation of the industry will create higher standards for companies.
Leigh Travers notedthat the lack of regulatory certainty is causing major financial institutions to stay away from the cryptocurrency industry. For example, the Commonwealth Bank of Australia has suspended its digital asset trading pilot program.
Regulators do not directly prohibit such services, but asked the bank’s management to suspend the program due to lack of consumer protection. Therefore, as Travers emphasized, there is a need for regulation of the industry, which will allow such services to exist and be reliable.
The CEO of Binance Australia also believes that the cryptocurrency space is already ahead of the traditional financial industry in many ways, and regulations should reflect this.
“People in the crypto industry want to prove that their standards are even higher than they seem,” Travers said.
It is equally important to determine the status of cryptocurrencies. Now digital assets in Australia are defined as property. However, according to Travers, such assets do not fit well with the usual classifications, so you need to expand the definition and distinguish cryptocurrencies and other assets from each other.
“The industry is in desperate need of more transparent and clear regulation because it is difficult for crypto firms to provide services in the current environment,” he said.
At the same time, Travers is positive about the future of cryptocurrencies. He called non-fungible tokens (NFTs) one of the most promising areas. In his opinion, in the near future they will remain just works of art, but in the future NFTs can be used in a variety of areas, including for the transfer of intellectual property rights.
At the end of May, Australian consumer advocacy group Choice issued a call for regulation of the cryptocurrency market in the country as soon as possible to ensure user protection.
Source: Bits
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