Cryptocurrencies have become very popular very fast everywhere in the world, and Australia is no exception. The country has now gained a reputation for being a major hub of crypto activity in that region, with Bitcoin taking the lion’s share of popularity among crypto users in Australia.
There is also a fiercely competitive crypto exchange market in the country, with multiple exchanges vying to be identified as the top crypto exchanges in Australia to sell and buy Bitcoin sprouting up and vying for market share. And this has had the added advantage of driving innovation and encouraging adoption across the country.
The History of Cryptocurrency in Australia
Cryptocurrencies came up on the scene in Australia around 2009, the same as everywhere else around the world. In a relatively short time, as more and more Australians began to take notice of this new form of digital currencies, the technology shifted from the fringes of the financial world to the mainstream. From a small group of early adopters, the crypto ecosystem in Australia quickly ballooned into the millions.
Little by little, cryptos began to be incorporated into the daily lives of enthusiasts in the country. Whether it was in making purchases online, sending money overseas, or even paying bills, cryptocurrencies have begun to redefine the country’s financial landscape.
From a tentative start to embracing cryptocurrencies in full swing, Australia’s journey is a testament to the country’s adaptability and openness to innovation. Today, cryptocurrencies are an integral part of Australia’s financial ecosystem, with one digital currency in particular – Bitcoin – reigning supreme
The Dominance of Bitcoin in Australia
As it is everywhere else in the world, the crypto scene in Australia is extremely busy, with more cryptos than one can count competing for attention in the market. However, standing head and shoulders over the rest is the original virtual currency – Bitcoin.
A survey found that a staggering 83% of crypto traders in Australia opt for and prefer to trade Bitcoin; which has led to its powerful dominance in the region. Its allure is primarily its widespread acceptance across most countries of the world and sectors of the economy. Also, there is the prospect of substantial returns.
However, the crypto scene is typically heavily fluid – it is continually evolving. So, it remains to be seen if Bitcoin’s dominance in the Australian crypto market will be challenged by Ethereum, Litecoin, and the other cryptos in the space.
Government Regulations and Cryptocurrencies
As part of Australia’s unique, pioneering approach to the crypto market, the country’s government has shown remarkable foresight in building out a regulatory framework for cryptocurrencies.
In 2017, the Australian parliament passed an act validating the use of cryptos as currency for payments, rather than just assets, effectively resolving the issue of double taxation that had been a major headache for crypto traders in the country.
Beyond that, the country has also mandated that all crypto exchanges be registered with the Australian Transaction Reports and Analysis Centre (AUSTRAC), which is in essence, the country’s main regulator and watchdog of the financial services sector.
Regulations require crypto exchanges to comply with the stringent guidelines of the financial sector, including anti-money laundering and the country’s counter-terrorism laws. These regulations have helped ensure the development of a safe and secure crypto marketplace in Australia, ultimately helping to boost the popularity of Bitcoin.
Impact of Bitcoin on the Australian Economy
As one would expect, the popularity of Bitcoin and cryptos has had a sweeping effect across the Australian economy, leading to a surge in startups and other companies investing in blockchain and blockchain-related technologies.
Also, businesses are increasingly adopting Bitcoin as an accepted form of payment, at a fast rate, fueling the adoption of the currency, and embedding it deeper in the fabric of the country’s financial services sector.
The Future of Cryptocurrency in Australia
It’s yet to be seen, what the future of cryptocurrency will look like in Australia. While Bitcoin is undisputedly the king of the crypto space today, who knows how different the market will be tomorrow?
With encouraging policies and regulations already in place, the path ahead for cryptocurrency in Australia is pretty great. And we expect it to get even better, as the country’s government develops clearer frameworks and guidelines for the market.
Amidst all of these, who knows which digital currency might upstage Bitcoin and steal the limelight in the future?
Bitcoin is undoubtedly the king of the crypto space in Australia. Driven by a government that is forward-thinking and leans towards market liberalization.
Although there is the possibility of a significant shift occurring in the crypto space, the supremacy of Bitcoin currently remains unchallenged, and thus should probably be your preferred horse. Nonetheless, markets are always very unpredictable; who knows what might happen?
So, if you want to buy bitcoin and invest in crypto, it is important to approach the market with a well-thought-out strategy, ensuring that you’re well-versed in how the market operates, before taking the plunge.