Australian authorities increase their crypto warnings in response to growing market concerns

The Australian Securities and Investments Commission (ASIC) has issued stern warnings about the risks of crypto, signaling a tightening regulatory environment for major exchanges such as Binance.

ASIC Chair Joseph Longo expressed concern about the difficulties of regulating the crypto space, citing an increase in crypto-related scams.

Australia is preparing to implement new crypto regulations by 2024, with a focus on licensing and custody requirements for crypto exchanges.

These laws, which are set to go into effect in 2025, represent a significant step forward in the country’s move toward comprehensive crypto regulation. Australia’s tax rules will also be updated in 2023 to align with evolving regulations regarding digital assets.

Binance, a major player in the crypto exchange landscape, has been hit by regulatory challenges. Binance’s licenses were revoked by ASIC, adding to the exchange’s already-existing regulatory issues.

Jeff Yew, the CEO of Binance Australia, resigned amid conflicts over compliance, highlighting the difficulties the exchange has faced, including financial and operational instability despite a profitable derivatives sector.