David Edwards
According to Kate Cooper, CEO of OKX Australia, the country’s next federal election, which is scheduled for mid-May, might be a turning point for institutional cryptocurrency adoption.
Cooper stated in an interview with Cointelegraph that he hopes the election will result in the long-awaited implementation of a regulatory framework for the cryptocurrency sector. In order to draft legislation that would offer much-needed regulatory certainty, the Australian government has spent the last two years consulting with investors and industry stakeholders.
“The industry has been calling for fit-for-purpose regulation,” Cooper stated, emphasizing that a clear legal framework would encourage greater institutional participation in the crypto market.
Clarity in Regulations to Promote Institutional Adoption
Cooper claims that a surge in individual investors has already been drawn to the present bull market. She does, however, think that the secret to enabling institutional engagement is regulatory clarity.
Cooper held executive roles at major Australian banks prior to joining OKX on March 6. She was head of innovation at Westpac and managed the digital assets innovation at National Australia Bank (NAB). Additionally, she was the CEO of Zodia Custody, an Australian institutional crypto custody company.
“At NAB, the biggest barrier beyond proof-of-concept was regulatory clarity,” Cooper noted.
The Possible Effect of Elections on Crypto Law
Australia’s crypto regulatory environment may change as a result of the federal election, which is set for May 17 at the latest. The center-right alliance had 51% support, compared to 49% for the ruling center-left Labor Party, according to a recent YouGov poll.
The outcome of the election may be significantly influenced by cryptocurrency investors. 59% of cryptocurrency investors are more inclined to back a politician who supports cryptocurrencies, according to a YouGov study conducted on February 19 among 2,031 Australian voters.
Cooper thinks stablecoin adoption would quicken considerably if the victorious party enacts crypto legislation.
According to her, 2024 has been the year of the stablecoin globally, moving past proofs-of-concept to practical uses.
With stablecoin transfer volumes hitting $27.6 trillion, which is 7.7% more than the total transaction volumes of Visa and Mastercard, a report released on January 31 by cryptocurrency exchange CEX.io demonstrated the sector’s phenomenal expansion.
The Conservative Approach to Digital Assets in Australia
Even if U.S. President Donald Trump launched a crypto reserve project on March 2, Australia’s present government has no intentions to create one despite growing institutional interest in digital assets.
Cooper accepted the cautious approach taken by the government:
“Australia takes a conservative ‘watch and see’ approach to emerging financial technologies.”
Nevertheless, she contends that the government must establish Australia’s place in the digital economy and capitalize on blockchain’s potential, irrespective of the outcome of the election.
The outcome of the election could decide whether Australia leads the global crypto ecosystem or falls behind its international rivals, as institutional players are set to enter the market.
