Given the innovation of Bitcoin and Blockchain tech, when it comes to law – there isn’t any. No wonder the sector has been likened to the Wild West. But there’s a new sheriff in town; the Australian Digital Commerce Association (ADCA) and Bitcoin Trader has joined the ranks.
ADCA states, “Collectively, ADCA members help advance the adoption of blockchain technology in Australia and work together to advocate for appropriate regulatory and policy settings.”
Nicholas Giurietto, CEO & Managing Director of ADCA comments; “As a pioneer of SMSF investments in digital currencies including Bitcoin, Bitcoin Trader is a natural fit for ADCA.”
But isn’t the whole point of Bitcoin and Blockchain to be independent of “legislation” and any sort of centralised control by government?
Nathan Van den Bosch, CEO and founder of Bitcoin Trader, comments; “In the past it’s been a bit like the Wild West – companies shooting from the hip and acting unscrupulously. That’s why ADCA has created best-practice self-regulation.”
A lot of the population still believe Bitcoin is just a flash-in-the-pan. What they don’t understand is that the old centralised fiat based system is transitioning to an entirely digital model. A digital currency in Bitcoin is the platform for the new economy.
Further, Bitcoin’s intrinsic tech – Blockchain, has become the foundation for emerging growth and innovation across various sectors, such as Westpac and UPS adopting Ripple a Cryptocurrency for inter-bank transfer and the Australian Reserve Bank undertaking research into Blockchain for its bonds.
US Homeland Security is getting on board; “Blockchain technology represents an innovative leap forward that has many uses and applications across multiple sectors of the economy. Many people, organizations, companies and departments are increasingly excited about blockchain.” After conducting further research they will “begin developing ways to implement blockchain technology.”
Van den Bosch confirms, “Bitcoin is here to stay; it’s become a major investment vehicle for Self-Managed Super Funds (SMSFs), wholesale Super funds and private investors. Regulation is inevitable. Since a lot of the regulators don’t know how Blockchain technology works – or its widespread applications, we can share that knowledge with them. In the interim we’re establishing a Code of Ethics which companies voluntarily comply with, but ultimately, a structure that works for everyone in the digital market.”
The Australian Transaction Reports and Analysis Centre (AUSTRAC) is currently rolling out legislation: all Bitcoin brokers and exchanges will have to report trades above $10,000. New rules will be incorporated into the Australian Financial Services Licence (AFSL). Bitcoin Trader is working as a member of ADCA to assist AUSTRAC in development of the legislation.
Why did Van den Bosch want to be part of ADCA?
“We are foremost an ethical organisation. Bitcoin Trader was built off the back of the last Global Financial Crisis (GFC). My family and I suffered significant financial loss from the rampant “self-regulation” of the banking sector that caused the catastrophe. Bitcoin is a natural hedge; given it’s transparent, distributed blockchain, evolution by consensus and significant returns (up 550% this year alone). Bitcoin Trader was created to help prevent other people from losing their life savings in the next GFC. Establishing and working with a code of ethics and model of best practice for digital commerce is a natural evolution.”
Giurietto, says, “ADCA welcomes the addition of Bitcoin Trader to the community of digital currency businesses working to ensure that this new and dynamic sector sets best-practice standards that both consumers and regulators can rely upon.”
Bitcoin Trader is a Cryptocurrency brokerage firm providing buy and hold strategies for high volume investments. As the world transitions to a digital economy, we facilitate investment solutions throughout the entire cryptocurrency acquisition process: buy, comply, store, secure & insure.
ADCA is the industry network for businesses implementing blockchain solutions. ADCA members work together to build understanding of the potential of blockchain technology, share best practice and engage with government and regulatory stakeholders.