Australian Parliament is expected to perform voting on a proposed bill for strengthening anti money laundering laws in the nation. The new law aims to empower AUSTRAC, the financial intelligence regulator to police digital currency exchanges in Australia where Bitcoins, Ethereum and other altcoins are traded.
In this new regime, all these BTC markets and Independent Reserve will need to be registered under the concerned regulating authority. The Justice Minister Michael Keenan told in a parliamentary speech for the bill that ‘Businesses which are trading digital currencies will need to get enrolled in AUSTRAC. These businesses have to establish, implement and maintain an Anti Money Laundering and Counter terrorism financing program.
The Criminal Intelligence Unit of Australia (ACIC) strongly advocates the regulation of digital currencies in Australia. According to ABC news, ACIC believes that virtual currencies like Bitcoin are used by some big organized crime groups and the number is increasing. So there should be some regulation on this regard.
Basically Bitcoin is a form of currency which can be used anonymously online and there is no reliance on any central banking system or any other financial party. Due to loophole in existing Australian laws, the buying or selling of Bitcoin and other cryptocurrencies is unregulated currently and therefore regulation needs to be done.
The director of Independent Reserve Lasanka Perera said that the news laws regulating these digital currencies will provide a boost in the confidence to the investors and consumers in the industry and this way more businesses will enter in this category. Although some cryptocurrency businesses believe that this anti money laundering bill will impose harsh obligations, the actual impact will be really better with the increase of trust on Bitcoin and altcoins by the Australian investors and users.