Australia has joined the growing list of countries considering cryptocurrency regulation, with the government set to unveil plans for a complete overhaul of payments system enhancements that would include digital currencies.
The Australian government will release three crucial documents aimed at reforming the crypto industry on Monday. They would include suggestions for a new tax structure for cryptocurrencies, rules to ensure investor protection from unscrupulous sellers, and regulations to regulate digital banks, crypto exchanges, and brokers.
The government would also begin consultations with industry insiders for the preparation and implementation of numerous reforms by the end of the year.
It is worth mentioning that Australia aims to be a key player in the Web3 space and aims to encourage innovation in the sector. Speculation is being made that the new suggested reforms are pro-crypto. Crypto taxation would also be eased in Australia to promote the country’s position as a crypto-friendly nation.
It should be noted that while the Web3 wave has transformed finance and people are finding new ways to profit from crypto assets, governments around the world are taking two approaches to these new developments.
For one thing, some countries are reducing taxation on gains from crypto assets. South Korea’s newly elected president campaigned on a promise to dramatically increase the tax threshold for crypto assets. Thailand’s tax policy on cryptocurrencies has also been relaxed recently. Dubai has also introduced regulations to strengthen the city’s position in the Web3 revolution.
On the other hand, some countries severely tax crypto earnings and impose strict regulations on the industry. India recently imposed a 30% tax and 1% TDS on crypto earnings. China has also cracked down on the crypto industry by outright banning private cryptocurrency mining. Morocco, Oman, Algeria, etc. are countries with strict cryptocurrency regulations.