Cryptocurrencies Have Been Welcomed Down Under
In general, Australia has been quite positive regarding cryptocurrencies. In the face of crypto exchanges developed Down Under, the Australian government should be praised for designing regulations that are perceived to be more progressive than punitive, ensuring the secure and transparent environment for all those considering investing in and using cryptocurrencies, such as Bitcoin, Ethereum and Litecoin.
Bitcoin and Other Cryptocurrencies are Legal Tender Here
Japan was the first country to publicly declare cryptocurrency as legal tender, but Australia has since followed suit. From July 1, 2017, Australia announced it would treat Bitcoin “just like money,” making it easier for “new innovative digital currency businesses to operate in Australia.”
The Australian government has focused its efforts on the nation becoming a global hub for financial technology (fintech) and embracing cryptocurrency and the underlying technology (blockchain), which is one of the most important steps they can take to make it happen.
Cryptocurrencies are Already Influencing Various Industries
The e-commerce industry has embraced crypto coins with open arms. Since Bitcoin’s infancy, e-commerce brands have accepted cryptocurrency payments for goods and services online, from takeaway deliveries to subscriptions to software keys and more. Speaking of software keys and subscriptions, lately, there is a significant rise in the number of women gamers. Casual gaming is now something of a phenomenon in Australia and beyond.
If you’re a stay-at-home mom, it’s even possible to entertain yourself at home and play games such as online poker using cryptocurrency. Portals such as CoinPoker offer quick and easy deposits and withdrawals using dedicated crypto tokens for safe and secure gaming.
How Cryptocurrencies are Taxed in Australia
As the popularity and success of cryptocurrency in Australia continue to grow immeasurably, the government is now taking steps to remove punitive taxation measures. Prior to September 2017, cryptocurrencies were subject to double taxation. Meaning that consumers who used cryptocurrency had to pay twice the taxes on purchases — once when buying the cryptocurrency and again when using the cryptocurrency in exchange for goods and services. Such forced many innovative operators in the digital currency space to depart from Australia. However, the removal of double taxation has already had a positive impact on driving innovation in fintech, increasing productivity growth Down Under once again.
Although Australia and other nations that embrace cryptocurrency are fielding questions regarding the legitimacy of the industry, the fact that the Australian government sees fit to work with the sector suggests it is far from a bubble and won’t be going away anytime soon.