Kraken Australia MD predicts Australia on the brink of a significant turning point in crypto demand.

Australia’s cryptocurrency industry is poised to benefit from a global surge in demand for crypto, but only if the right decisions are made by lawmakers, according to an executive from Kraken Australia. Speaking at the Formula One Grand Prix in Melbourne, the executive highlighted the increase in capital flowing into spot Bitcoin exchange-traded funds (ETFs), the adoption of stablecoins, and BlackRock’s recent launch of a $100 million tokenization fund on Ethereum as reasons for optimism in the crypto market. While institutional demand for crypto has surged in the US, it has yet to reach Australia. However, there has been a significant increase in interest from retail investors and crypto-related businesses in the country. The executive emphasized that the lack of regulatory clarity and slow progress in legislation are major obstacles to wider crypto adoption in Australia. However, the engagement with Australian policymakers has been positive so far, and the focus now is on ensuring that sensible laws are put in place. The executive stressed the importance of considering the international nature of crypto when crafting legislation, cautioning against overengineering localization.