High rates of crypto ownership, with purchases often made on advice from Youtube and Facebook, make “a strong case for regulation,” according to the Australian Securities and Investments Commission. The watchdog backs its stance with poll results showing nearly half of retail investors in Australia keep one coin or another.
Australian Securities Regulator Pushes for Rules to Protect Cryptocurrency Investors
Pressure on Australia’s new Labor government is mounting, to put an emphasis on consumer protection as it takes over a task from the preceding conservative government to adopt a regulatory policy regarding digital assets like cryptocurrencies. A years-long study on the matter, initiated by the former cabinet, is yet to answer the relevant questions of whether and how to do that.
According to a survey conducted by the Australian Securities and Investments Commission (ASIC) in November, 44% of over 1,000 retail investors admitted to holding cryptocurrency. The results indicated that crypto is the “second most popular investment after Australian shares,” Reuters noted in a report. A quarter of the polled investors who held digital coins said they were their only investment.
Statistical data suggesting high rates of cryptocurrency ownership in Australia were dismissed last year by a top central bank official who referred to the numbers as “implausible,” the news agency remarks. But ASIC believes they make “a strong case for regulation.”
Another argument for that, besides the high popularity of crypto, is the finding that 41% of respondents sought investment insight online, with a fifth of those polled naming the video sharing platform Youtube and at least one in ten pointing to the leading social media network, Facebook. Only 13% gained their info from a financial adviser or broker.
ASIC Chairman Joe Longo expressed the Commission’s concerns about the large number of participants in the survey who reported investing in what he described as “unregulated, volatile crypto-asset products.” The high-ranking official further elaborated:
There are limited protections for crypto-asset investments given they have become increasingly mainstream and are heavily advertised and promoted. There is a strong case for regulation of crypto-assets to better protect investors.
The survey was conducted in the same month when bitcoin (BTC) and ether (ETH), the two most popular cryptocurrencies, hit record highs, Reuters remarks. The prices of both coins have since dropped by about two-thirds, while the Australian stock market is down about 6%.
Part of the reason for that can be found in interest rate hikes that have likely convinced investors to exit speculative assets. Their retreat helped cause the latest crypto market slump and led to the bankruptcy of a number of businesses built around cryptocurrencies.
The popularity of crypto among Australian investors has attracted the attention of other government agencies as well. Earlier this year, the Taxation Office listed crypto-related profits among several priority areas where efforts are needed to ensure correct reporting. The authority reminded taxpayers they need to calculate any capital gains from the sale of coins and tokens and declare it with their tax returns.
Do you expect Australia to adopt restrictive regulations for cryptocurrency investment? Share your thoughts on the subject in the comments section below.
Source: Regulation Archives – Bitcoin News
Top 5 Gaming Tokens to Invest In
What are the significant cryptocurrencies on which well-known games are based? What are the top 5 gaming tokens?
Cryptocurrencies are now more than objects of speculation and financial assets. Virtual games in which you can win tokens are now based on the blockchain. But what are the significant cryptocurrencies on which well-known games are based? What are the top 5 gaming tokens? Let’s take a look at it in more detail.
Top 5 Gaming Tokens – BakeryToken (BAKE)— BSC News (@BSCNews)
The BakeryToken is BakerySwap’s token. BakerySwap is a Uniswap clone on which it is possible to do NFT trading. The BakeryToken is earned by supplying liquidity to asset pairs. The separate pools are named after foods such as donuts, waffles, rolls, and croissants. BakerySwap only operates on the Binance Smart Chain (BSC) and includes extensive gamification.
Top 5 Gaming Tokens – The Sandbox (SAND)— The Sandbox (@TheSandboxGame)
The Sandbox is a 2012 video game for Android and iOS. In the game, different 3D worlds can be played side by side in a metaverse. Players can create, play and trade their own virtual creations over the blockchain. The SAND token is the root of transactions and interactions in the sandbox game. It is one of the top 5 gaming tokens.
Top 5 Gaming Tokens – Enjin Coin
The Enjin Network is a social gaming platform based on the blockchain. Users can create websites, chat and operate virtual item shops on it. It allows game developers to tokenize goods on the Ethereum blockchain. The Enjin Coin was first launched on the Ethereum Blockchain in June 2018.
Additionally, Enjin works with NFTs. They are the preliminary architects of the ERC-1155 token benchmark, which is specifically created for NFTs. Enjin focuses on in-game objects and collectibles. Currently, they seek to handle the issue of Gas Fees on the Ethereum network and are looking to find a solution for scaling and interoperability (aka the power of various computer systems to trade information).
Top 5 Gaming Tokens – Decentraland
Decentraland is a decentralized virtual reality platform based on the Ethereum blockchain. It was first opened to the public in February 2020. Users can buy, create and monetize virtual reality applications on it. Furthermore, they can create scenes, games, artworks, and challenges with a builder tool. Decentraland’s MANA token is ranked #2 in the top 5 gaming tokens. Two different types of tokens watch progress in Decentraland. These are:
- LAND – A non-fungible token (NFT) employed to define the investment of land packages defining digital real estate.
- MANA – A cryptocurrency that allows custody of , as well as virtual assets and helps applied in Decentraland.
Top 5 Gaming Tokens –Axie Infinity (AXS)
Axie Infinity is a blockchain-based fighting and trading game that is partially managed by its own players. In the game, users can breed creatures called Axies. You can trade these creatures with each other and let them fight each other. The game is inspired by classics like Pokemon and Tamagotchi, among others. Axie Infinity’s AXS token is #1 in the top 5 gaming tokens.
Axie Infinity’s mission was to serve as a fun and educational way to introduce the world to blockchain technology. Many of the developers and the team members assembled from playing Cryptokitties, which then evolved to them working on the Axie game and introducing the magic of blockchain technology to players.