On February 27, during the XRP Australia 2026 event in Sydney, several industry executives stated that Australia’s cryptocurrency market has made significant progress in user growth and regulatory communication, but bank restrictions and legal uncertainties still pose practical obstacles.
John O’Loghlen, Managing Director of the US’s largest compliant CEX in the Asia-Pacific region, pointed out that the Australian Treasury and the Australian Securities and Investments Commission (ASIC) have strengthened digital asset industry capabilities, leading to more professional regulatory discussions. At the same time, products like spot Bitcoin ETFs and Ethereum ETFs have provided institutional investors with clearer compliant pathways for participation.
Market data also shows increased penetration. The 2025 report from Independent Reserve states that 31% of Australians hold or use crypto assets, up from 28% in 2024, with another 29% of respondents planning to allocate related assets in the next year.
Kate Cooper, head of a CEX in Australia, said that self-managed super funds (SMSFs) trustees and high-net-worth investors are becoming the main drivers of growth. Many newly established SMSFs are focused on investing in digital assets to diversify their portfolios.
However, the issue of bank “de-risking” remains unresolved. Cooper admitted that crypto businesses still face restrictions in accessing banking services. O’Loghlen called for avoiding including non-custodial wallet developers and public blockchain infrastructure providers in licensing frameworks for intermediaries when advancing payment service regulatory reforms.
Additionally, the lawsuit between Block Earner and ASIC is still under appeal, and legal boundaries have not been fully clarified. With changes in the political cycle, the pace of related legislation may also vary. The Australian crypto industry is entering a more cautious development phase amid the ongoing struggle between user expansion and compliance.
Disclaimer: The information on this page may come from third parties and does not represent the views or opinions of Gate. The content displayed on this page is for reference only and does not constitute any financial, investment, or legal advice. Gate does not guarantee the accuracy or completeness of the information and shall not be liable for any losses arising from the use of this information. Virtual asset investments carry high risks and are subject to significant price volatility. You may lose all of your invested principal. Please fully understand the relevant risks and make prudent decisions based on your own financial situation and risk tolerance. For details, please refer to
Disclaimer.
Related Articles
Ethereum (ETH) on the Edge: Critical Level Stands Between New Bull Run and a Major Crash
While the second-largest cryptocurrency has registered a significant rebound over the past month, it remains at risk of plummeting to drastically low levels during this cycle.
On the other hand, some important indicators suggest that the worst might be over and the price could be gearing up for a m
CryptoPotato3h ago
Base58 Labs’ BASIS 2026 Blueprint Forges a New Standard for BTC, ETH, SOL & PAXG
[PRESS RELEASE – London, UK, March 17th, 2026]
New roadmap positions BASIS as an institutional-grade digital asset management platform built for macro volatility, tokenized safe-haven demand, and frictionless Web3 onboarding.
Base58 Labs today unveiled the BASIS 2026 Technical Blueprint &
CryptoPotato5h ago
Machi Deposits 500K $USDC to Back $ETH Long on Hyperliquid
Machi Big Brother has invested an additional $500,000 in $USDC to bolster his long positions in Ethereum, Bitcoin, and HYPE, despite facing over $30.8 million in losses. His strategy showcases unwavering confidence in these cryptocurrencies amidst a declining market.
BlockChainReporter5h ago
