Australia’s cryptocurrency exchanges are generally optimistic about the draft crypto laws proposed by the government. However, they emphasize the need for more clarity from the Treasury.

“The draft legislation, as it stands, leaves some critical questions unanswered,” said Caroline Bowler, the former CEO of BTC Markets.
Translation: The draft law has unresolved critical questions.

This week, the Treasury ended a consultation that commenced last month on rules that aim to expand the finance sector’s regulations to cover crypto exchanges.

The proposed law would introduce two new financial products under the Corporations Act: a “digital asset platform” and a “tokenized custody platform,” both requiring registration with the Australian Securities and Investments Commission (ASIC).

Swyftx Calls for Improvements

In their feedback to the Treasury, crypto exchange Swyftx pointed out that the draft law requires simplification and clarity on the authorities it grants the government and how exchanges will function.

“We support the government’s intentions to structure the digital asset sector but require clarity in its application,” added Mandy Jiang, of CloudTech Group.
Translation: There’s a need for clearer guidance on licensing and custody standards.

The draft laws, according to Swyftx, lack explicit information on how crypto platforms can legally source liquidity from overseas exchanges, a crucial point for maintaining competitiveness against international markets.

Swyftx’s CEO identified the need to ensure consumer protection remains a priority and that regulation does not stifle local industry growth.

Looking Ahead to 2026

Vakul Talwar from Crypto.com stressed the importance of the Albanese government acting swiftly to amend and introduce the bill, potentially by March.

“Finalizing the legislation as soon as possible is critical for market stability and confidence,” he asserted.
Translation: Quick action is needed to ensure market reliability.

Edward Carroll remarked on the challenges ahead, suggesting that significant work is still needed to create a viable legislation by the end of 2026.