Cryptocurrency is “not a fad”, warns Minister | Western Review
Crypto-currencies are “not a fashion”, will warn the Minister of the Digital Economy Jane Hume.
In a speech at the AFR Super and Wealth Summit Monday, Hume will say that cryptocurrency is “an asset class that has captured hearts and minds.”
“But beyond that – whatever you personally think about it – it’s technology that’s not going away anytime soon.”
“Don’t be the person in 1995 who said the internet was just a place for geeks and criminals and would never become mainstream.”
Reserve Bank Payments Policy Officer Tony Richards said last week that many regulators around the world remain “skeptical” about developments in the cryptocurrency market.
Dr Richards asked to what extent cryptocurrencies are held in Australia, despite a recent Senate survey which found that 17% of Australians invest in cryptocurrencies.
But Hume plans to say at the top that Australia needs to recognize “this is not a fad.”
Australia must “forge its own track” on decentralized finance built on blockchain, she will say.
“Decentralized finance backed by blockchain technology will present incredible opportunities – Australia must not be left behind by fear of the unknown.”
“If the last 20 or 30 years have taught us anything, it’s that all innovation starts as a disruption and ends as a household name.”
Decentralized finance, or DeFi, does not use traditional banks, brokerage houses, or stock exchanges.
Instead, blockchain-based systems are used to perform financial transactions.
The federal government has yet to put in place regulations for these developments.
Associated Australian Press