Reports from the best crypto news site reveal that a very new legislative package has been proposed by Australian Senator Andrew Bragg. This particular legislative package will attempt to address different challenges in taxation, crypto customer, as well as the operations of DAOs in order to provide proper protection to the consumers against all threats in the crypto space.
Australian Senator Andrew Bragg recently dropped a bombshell in the Australia Blockchain Week Conference with the announcement of a proper legislative proposal that would lay the essential groundwork for the creation of an entirely new and improved Digital Asset Environment.
The proposal of the Digital Services Act legislative package includes different measures and tactics to introduce reforms in several processes related to the market licensing in crypto, custody, debanking, taxes, and so much more.
Several reform actions for DAOs are also included in the package. In the conference, Senator Bragg mentions that he has expectations that this particular Act and the actions within it will protect the consumers of the crypto space from different malicious operators.
Senator Bragg charted the 4 important pillars that the DSA would be executed by. He further provided an explanation that the DSA would be scientifically unbiased. It will have broad and flexible principles, be regulated by a Minister rather than a bureaucratic agency, and will utilize the personnel and resources of the government.
According to him, this particular action will show the entire world how Australia is ready to take the leap into the crypto market and that too in a fair and just manner. “This will show Australia is open for business and things are clear and clean.”
Several Reforms to Be Made in Australia For Crypto Community Safeguarding
The Senator also took on DAOs, challenging various branches of the government to take them seriously. He went as far as calling them “an existential threat to the tax base” under current rules.
According to data published by the Parliament of Australia, the company tax accounts for the second-largest source of revenue for the government behind income tax, however, DAOs are not taxed as companies.
To that, Australian Senator Bragg said that his country’s “reliance on company tax is unsustainable” if an increasing number of organizations become a DAO. As a result, the DSA would task the government with creating a framework for creating standards for DAOs without stifling their core principles.
The standards would essentially ensure consumers have access to audit, assurance, and disclosure services from DAOs that help them distinguish between retail and wholesale organizations. Senator Bragg called for the Treasury to address those issues while also “leaving the field open for DAOs to continue to live up to their name.”
Swyftx’s Head of corporate, Michael Harris was in favor of the government instating higher standards for the domestic crypto industry. He told Cointelegraph today that exchanges have nothing to fear from higher standards because ”Most Australian exchanges already take their duty of care to customers very seriously.”
Harris added that the land down under should be leading the developed world in crypto regulation because of its high rate of adoption. A survey from pollster Finder found that 22.9% of Australians owned crypto from October to December 2021. Harris continued to state that:
“We see this as an important step forward. Australia has one of the largest crypto adoption rates in the developed world. It makes complete sense for us to lead on regulation.”
One of the major concerns in the crypto market lately is its use by individuals and nations to circumvent global economic sanctions. There is currently a debate raging in the US Senate about whether the Russian government is able to keep its military operation in Ukraine funded with the help of cryptocurrency.
Data from the best crypto news site stated that the Blockchain tracking firm Elliptic found on the 15th of March that some individuals that are currently in possession of crypto. But Senator Bragg mentioned that the government was powerless under the current laws of Digital Currency Exchange (DCE) to provide retribution on these offenders.
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